After a wait of three months, there are some signs seen that will lead to this emergence. However the company is aiming to fork out a capital requirement of Rs 100 crore rather than waiting for the recommendations of the health insurance committee to make its regulations.

The industry sources pointed out that the country holds chances of witnessing specialized health insurance companies if they follow the norms that run parallel to general insurance companies.

The working committee on health insurance has specified the following recommendation: firstly, the capital base to be brought down to Rs 50 from Rs100 crore. Secondly, raising the foreign direct investment to 51 per cent from the present 26 per cent and thirdly that the solvency margin should be based on risk and not on capital.

Though the general insurance companies provide the health cover, there is no legal restriction on life companies from offering health insurance cover. At present, life insurance companies are offering life insurance cover along with health cover (critical illness) as riders.

Domestic players like Apollo, Fortis and Max Healthcare are likely to establish its standalone insurance company. But the believed minimum requirement of Rs 100 crore and 26% as the FDI limit has discouraged more entrants in this venture.

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