Parliamentary Panel Urges Doubling Ayushman Bharat Cover to ₹10 Lakh on July 10

India’s parliamentary standing committee on health has recommended raising the Ayushman Bharat insurance cap to ₹10 lakh from ₹5 lakh per family annually. The current limit leaves beneficiaries vulnerable to massive out-of-pocket costs for procedures like liver transplants, cardiac surgeries, and immunotherapy that now exceed the threshold. The scheme currently covers 43 crore cardholders across 35 states and Union Territories.

Why the current ₹5 lakh limit is no longer enough

Medical costs have surged beyond the scheme’s existing ceiling. Liver transplants, complex cardiac surgeries, and immunotherapy treatments now cost far more than ₹5 lakh. The committee observed that advances in medical treatment have pushed high-end procedures well beyond coverage, forcing many beneficiaries to pay substantial amounts themselves despite being enrolled in the government scheme.

How the committee proposes to fund the increase

The panel recommended a differential treatment cost model for high-cost procedures, supported through pooled financing, negotiated pricing with hospitals and manufacturers, and co-funding with states. This targeted approach would ensure expensive life-saving procedures remain accessible while maintaining fiscal sustainability. The committee also wants hospitals to approve cashless treatments within six hours, with penalties for delays.

Current scheme reach and impact

Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (PM-JAY) provides cashless health cover for secondary and tertiary care across 35 states and Union Territories. As of January 31, 2026, the scheme had authorised 11.46 crore hospital admissions worth ₹1.69 lakh crore. More than 43 crore Ayushman cards have been issued, making it India’s largest government-funded health insurance programme. The committee’s recommendation aims to strengthen coverage for the poorest families.

What happens next

The recommendation now goes to the health ministry for consideration. Implementation would require budget allocation and coordination with state governments. The panel also pushed for universal Ayushman Card distribution, especially in remote areas where uptake remains low. No timeline has been announced for a decision.

Final Thoughts

The ₹10 lakh proposal would double coverage for 43 crore cardholders, protecting vulnerable families from catastrophic medical debt. Implementation depends on ministry approval and state coordination, with no firm timeline yet.

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