The Government of Andhra Pradesh has invested in the Rajiv Aarogyasri Community Health Insurance Scheme as a means to reduce burdensome health expenses incurred by the state's below-the-poverty-line population. However, recent household data collected in two districts of AP suggest that poor patients continue to spend significantly on conditions that are not covered by the RAS at both government and private facilities. These findings suggest that the RAS alone is not likely to reduce the financial burden (of illness) on the BPL population. Instead, fundamental changes to the health system, including introduction of a gatekeeping system, may be warranted.
