Cabinet note being readied on health care for poor

The government has started moving on providing health care to families below the poverty line following the announcement by Prime Minister Narendra Modi on Monday.

Health Minister J P Nadda told Business Standard on Wednesday a Cabinet note was in the works to secure approvals for the health care scheme.

Health ministry officials said the government would soon start empanelling hospitals. This puts to rest speculation on the role of the private sector in the scheme.

Modi's announcement that the government would pay up to Rs 1 lakh towards health care costs for poor families is likely to be an amalgam of schemes by state governments and the Rashtriya Swasthya Bima Yojana.

The Rashtriya Swasthya Bima Yojana is a family health insurance scheme and some of the state schemes are run by trusts. None of these makes direct payments to patients.

The Rashtriya Swasthya Bima Yojana offers up to Rs 30,000 for health care costs of poor families in government and private hospitals. States and the Centre pay premiums for the policy. Till March 31, 11.8 million people had been hospitalised under the scheme.