India has achieved a major milestone in public healthcare transformation. The Ayushman Bharat–Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), launched in 2018, has now become the world’s largest government-funded health insurance scheme, covering more citizens than the population of most nations.
According to official data released in October 2025, over 42 crore Ayushman cards have been issued since inception, extending free cashless health coverage to nearly 12 crore families—primarily low-income and vulnerable households. The scheme offers ₹5 lakh per year per family for hospitalisation and major medical treatment in approximately 28,000 empanelled hospitals across India.
The Economic Survey 2024–25 reveals a landmark achievement:
> The scheme has helped households save over ₹1.52 lakh crore in out-of-pocket healthcare expenses directly reducing financial distress and medical debt among the poor.
A Turning Point in India’s Public Health Landscape
Before Ayushman Bharat, India had one of the highest out-of-pocket healthcare expenditures globally. A significant number of families used to fall into poverty annually due to medical bills. Many avoided hospitals altogether because of fear of expenses.
Ayushman Bharat targeted this crisis head-on by:
Removing the need for upfront payment
Making treatment cashless and paperless
Allowing patients to choose government or private hospitals
Covering high-cost procedures that were previously unaffordable.
The scheme has particularly benefited rural and economically weaker regions where specialist healthcare access was limited
How the Scheme Works
Coverage ₹5 lakh per family per year
Beneficiaries ~12 crore families (42 crore individuals)
Cost to Patient Zero — treatment is fully cashless
Hospitals Empanelled 28,000+ public and private facilities
Conditions Covered Cancer, heart surgeries, organ transplants, dialysis, maternity care, accidents & more.
Beneficiaries are identified using SECC (Socio Economic and Caste Census) and state eligibility data. The Ayushman Card serves as the entry point to avail services.
Real-World Impact
1. Reduction in Medical Bankruptcies
Families previously driven into debt or forced to sell assets to afford treatment are now protected. The government credits Ayushman Bharat for significantly reducing health-related financial stress nationwide.
2. Improved Access to Specialist Treatments
Complex surgeries including cardiac stents, chemotherapy, hip replacements, neonatal care are now within reach for low-income families.
3. Increased Use of Government Hospitals
Public hospitals have witnessed higher patient inflow, encouraging states to invest more in medical infrastructure, equipment and staffing.
Strengthening Public-Private Healthcare Partnerships
One of the most notable effects of the scheme is the bridging of the gap between private and public healthcare. Private hospitals that once catered mainly to urban or upper-income groups are now accessible to the economically weaker sections, with the government settling payments directly.
Health policy analysts note that PMJAY has contributed to:
Improved transparency in hospital billing
Expansion of insurance-based healthcare culture
Standardisation of treatment costs across India
Future Roadmap: Digital Integration & Expansion
The government is integrating PMJAY with the Ayushman Bharat Digital Mission, which aims to create a unique Health ID for every citizen, ensuring:
Seamless medical records
Easier referrals
Faster hospital processing
Additionally, awareness campaigns, mobile enrollment drives, and partnerships with local health workers are being intensified to reach remaining eligible households.
Seven years after its launch, Ayushman Bharat stands as a transformative step in India’s journey toward universal health coverage. By reducing financial barriers and improving access to quality healthcare, the scheme is widely regarded as one of the most impactful social welfare interventions in the country’s history.
As India continues to expand digital infrastructure and hospital networks, the scheme is poised to further strengthen its role in shaping a healthier, more equitable future for millions.
