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Poor households suffer from the problems of low and volatile income, appalling health, and limited access to healthcare services. This makes them highly vulnerable to health shocks whose effect could be devastating. Hefty medical expenses virtually erode out whatever little financial and physical assets poor households accumulate over time through hard toil. Also lack of awareness about health insurance makes the situation even worse. Poverty-stricken households tend to prioritise savings over insurance without realising the need for both. Moreover, as far as critical diseases are concerned, existing health insurance schemes also fail to provide adequate coverage. The stories of Savitha and Suvarna, two poor women from rural Tamil Nadu, are narratives of these crude realities.
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