In a country like India, where affordable, universal healthcare run by government agencies remains a work in progress, most people rely on private healthcare facilities. In fact, more than 70% of the country’s hospitals are privately owned and nearly 85% are in the unorganised sector.

As patients prefer visiting corporate chains or quality healthcare providers in metros during health crises, large payers are steadily increasing their market share. Consequently, small and midsized hospitals in non-metro locations are grappling with a decline in patient footfall. On the other hand, those who cannot afford expensive private care are left to bear the brunt of healthcare disparities. For context, a report by the National Insurance Academy suggested that about 30% of India’s population (around 40 Cr individuals) lack health insurance.

No doubt there are national and state-level health protection schemes for low-income families for secondary and tertiary care. But even a pan-India health assurance project like Ayushman Bharat with its HWCs (health and wellness centres) and flagship PM-JAY scheme (Pradhan Mantri Jan Arogya Yojana enables an annual spend of INR 5 Lakh per family) covered a little over 50% of its target beneficiaries as of December 2023.

However, a silver lining is there in the form of asset-light models. A new crop of healthtech startups such as Pristyn Care have come up to address structural and resource shortages. These innovative digital platforms connect patients with all available medical facilities in their own cities and nearby areas/regions to ensure maximum cost-effectiveness for patients and optimum occupancy rates at existing units.

It is a win-win for all. People do not have to travel far for treatment at corporate hospitals at six to eight times the usual cost. Also, smaller medical units can earn bigger revenues due to a significant rise in patient footfall. Besides, the latter can keep their capex under control and still improve care quality by sharing high-end portable devices used by many speciality hospitals. Additionally, there will be headroom to operationalise beds at existing facilities and introduce more paramedics and other trained healthcare professionals to the ecosystem.

“I have always been vocal about the underutilisation of small and midsized hospitals and nursing homes,” said Dr Vaibhav Kapoor, cofounder of the unicorn healthtech startup Pristyn Care.

“Covid-19 was a real eye-opener, underscoring what happens when we lack an agile healthcare infrastructure. The shortcomings became evident when every large hospital was full. However, in normal times, most small/midsized hospitals struggle daily due to low patient volume.”

Set up in 2018 by Dr Kapoor,........

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