The Indian Parliament’s Standing Committee on Health and Family Welfare has recommended increasing the insurance coverage under Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) from Rs 500,000 to Rs 1,000,000 per family per year.
The scheme, which was launched in 2018, is administered and funded by the Indian federal government and provides cashless secondary and tertiary healthcare services to eligible families through a network of listed public and private hospitals across the country.
The Standing Committee resolution, which is part of the committee’s 172nd report, says the increase is necessary due to rising health care costs and growing concerns that current coverage is no longer sufficient for many life-saving treatments.
According to the committee, the cost of treating serious diseases such as advanced cardiac surgery, organ transplantation, cancer immunotherapy and other specialized secondary and tertiary procedures has increased significantly over the years. It said the current limit of Rs 500,000 often falls short for complex procedures.
When treatment involves these specialized areas, health care expenses can easily exceed current insurance limits, forcing many families to spend large sums of money out of pocket despite being covered under the plan.
According to industry sources, health care spending has steadily increased due to advances in medical technology, new treatments, longer hospital stays and the increasing burden of chronic diseases.
As per official data available, till June 2026, more than 435.2 million individual Ayushman cards have been issued under the scheme. The scheme targets more than 550 million individuals above 70 years of age across the country.
The committee said increasing the insurance cover to Rs 1,000,000 would provide better financial protection and reduce catastrophic health expenditure. Committee members also felt that the proposal would particularly benefit economically weaker families who often delay or avoid treatment due to financial constraints.