Good defense and tech throws should be all you need to keep your character out long enough to get a decent amount of health recovered. If you need them in for a Tag Cancel combo or a desperate switch, it's up to you whether or not it is worth losing that red health or not. I agree with TC that recovery should have been slowed to half, because it was ridiculously fast before...but I don't think it so slow now that it is negligible.
I think putting this emphasis on throws was also a good way of making people want to close the gap, or on the other end, not run away so much. Erasing red health and promoting up-close combat both help prevent time-outs. --- Ignore my username...'05 was a different time. Just call me Hydro.