Health 2.0: Cabinet Approves ₹5 Lakh Coverage for Everyone 70 and Above

The Union government has recently approved health coverage for everyone aged 70 and above under the national insurance scheme, Ayushman Bharat. The Cabinet meeting, chaired by Prime Minister Narendra Modi, announced that the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PM-JAY) will benefit 4.5 crore families, covering nearly six crore senior citizens. This free cover provides ₹5 lakh of annual health coverage per family.

With this approval, all senior citizens aged 70 and above, regardless of their socio-economic status, are eligible for the benefits of AB PM-JAY. Under the scheme, a new, distinct health card will be issued to eligible senior citizens, ensuring seamless access to healthcare services.

Coverage for Senior Citizens

Ayushman Bharat’s recent update extends its benefits to all citizens aged 70 and above, irrespective of their income levels. This expansion is crucial for elderly individuals, who are often more vulnerable to illness and face rising medical costs, especially for treating advanced conditions such as cancer. Under this scheme, senior citizens are entitled to ₹5 lakh of annual health coverage per family, providing substantial financial relief for healthcare-related expenses.

New Health Cards On The Way

To streamline access to benefits, every eligible senior citizen will receive a dedicated health card. This ensures easier and quicker access to the scheme's services at hospitals and other medical institutions.

Family Coverage and Shared Benefits

The scheme is structured on a family basis, meaning that the ₹5 lakh health coverage is shared within the family. However, for senior citizens already covered under the scheme they are eligible for an additional top-up of ₹5 lakh for their exclusive use. This extra layer of protection helps in cases where multiple senior citizens within a family require significant medical care.

Private and Public Health Insurance Options

Individuals already covered under other public health insurance schemes, such as the Central Government Health Scheme (CGHS), Ex-Servicemen Contributory Health Scheme (ECHS), or Ayushman Central Armed Police Force (CAPF), must choose between their existing plans or opt for the expanded AB PM-JAY coverage. 

Financial Relief and Government Support

The expansion of the scheme is expected to have significant financial implications, with an initial cost of ₹3,437 crore. The central government will bear 60% of these costs, while the states will cover 40%. In the case of northeastern and hilly states, the Centre will shoulder 90% of the expenses. This financial distribution ensures wider accessibility to the scheme across the country.

A Must-Have Safety Net

For senior citizens, this scheme provides a much-needed safety net in the face of increasing medical needs. With coverage that spans various healthcare services, the expanded Ayushman Bharat plan brings security and peace of mind to elderly individuals and their families.