Hi thanks for your question.
You have normal pregnancy
of 37 week with healthy baby, with impending umbilical hernia
Yes your doctor can induce you at 38 weeks of pregnancy.
There are indications for C section and umbilical hernia is not indications for C section.
If you have any indication for C section, doctor will definitely go for it.
If you don’t have any indication for C section, normal delivery is better.
If you have developed umbilical hernia and there is indication for C section, doctor can go for C section, and can also repair the hernia with the help of surgeon in one setting .
Hope I answered your answer