Ayushman Bharat is National Health Protection Scheme by the government. The rates for LSCS are 9000/-. The medical profession says our cost is 57000/- Then what is the answer. Is it the concept of cross subsidy.
Cross subsidization is the practice of charging higher prices to one group of consumers to subsidize lower prices for another group.
Suppose Mr X goes to dinner with two of his friends Y and Z. X’s meal costs 100/-, Y’s meal costs 200/- and z’s meal costs 300/-. The total bill is then 600/- and everyone decides to split the bill evenly, for 200/- each. X’s meal is undercosted. Z’s cross-subsidizes Alex for 100/-. Y is neither cross-subsidized nor cross-subsidizes anyone else.
TN-IMA has shown that the real cost of a cesarean in private sector is 57515/- ( say 57000 for calculations).
In Ayushman Bharat the government wants to pay 9000/- ( 10% extra by states, 15% extra for NABH accredited and 10% extra for DNB hospitals). Even if it comes to 12000, the establishment will have to provide a subsidy of 45000/- Rs.
How will the establishment cover the cost?
Ayushman Bharat covers 40% of the population
Note: The above is a concept. The actual prises will vary with the average cost derived when all procedures are included.
Dr K K Aggarwal
Recipient of Padma Shri, Vishwa Hindi Samman, National Science Communication Award and Dr B C Roy National Award. Gold Medallist Nagpur University. Limca Book of Record Holder in CPR 10
Vice President Confederation of Medical Associations of Asia and Oceania
President Heart Care Foundation of India
Group Editor in Chief IJCP Group & eMedinewS
Immediate Past National President IMA
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