About 70 per cent Indians rely on private healthcare for their health needs and bear out of pocket costs, which plunged 55 million people into poverty in 2012.
India has earlier tried out national insurance models such as the Rashtriya Swasthya Bima Yojana (RSBY) that started in 2008, aiming to cover hospitalisation expenses upto Rs 30,000 for families below the poverty line. Its overall performance was poor and the scheme failed to reduce impoverishment.
In September