5 min readJan 24, 2026 03:29 PM IST
First published on: Jan 24, 2026 at 10:07 AM IST
The Aam Aadmi Party (AAP) government in Punjab has rolled out the Mukh Mantri Sehat Yojana (MMSY), a universal healthcare scheme that provides cashless medical treatment of up to Rs 10 lakh per family per year. With no exclusions, the scheme aims to bring all residents of the state under a single healthcare coverage framework.
The Scheme
It applies to all bonafide residents of Punjab. Families possessing an Aadhaar card and Voter ID are eligible for enrolment, while children below the age of 18 are covered through the voter identity documents of their parents or guardians. Government employees, pensioners and individuals engaged on contractual, outsourcing or consultancy basis with Punjab government departments, boards, corporations, trusts and societies are also included. There is no income limit under the scheme.
The Cover
The state government has stated that the scheme will cover around 65 lakh families, benefiting nearly 3 crore people. Each eligible family is entitled to cashless medical treatment of up to Rs 10 lakh annually, doubling the earlier coverage limit of Rs 5 lakh that was available under previous health insurance arrangements.
The Scope
More than 2,300 medical treatment packages have been brought under the Mukh Mantri Sehat Yojana. These include secondary and tertiary healthcare services across multiple specialties such as cardiology, oncology, neurology, nephrology, orthopaedics and general medicine. Treatments covered under the scheme range from cancer care and heart procedures to kidney dialysis and transplants, brain and spine surgeries, knee and hip replacements, maternity and newborn care, emergency and trauma services, ICU care and diagnostic procedures linked to hospitalisation. Expenses related to pre-hospitalisation and post-hospitalisation care are also included.
Empanelled hospitals
Cashless treatment under the scheme can be availed at a network of 823 empanelled hospitals across Punjab. This includes government hospitals, district and sub-divisional hospitals, community health centres, medical colleges and a large number of private hospitals. Empanelled private institutions include several multi-specialty and teaching hospitals. Hospitals empanelled in Chandigarh have also been included, and in cases of medical necessity, beneficiaries can seek treatment outside the state using the health card.
How to enrol
To access benefits, families are issued a single Mukh Mantri Sehat Yojana health card, which serves as the primary document for availing cashless treatment. Health cards can be obtained through sewa kendras and online registration using Aadhaar and Punjab Voter ID. To ensure universal enrolment, trained youth club members will also conduct door-to-door outreach to assist residents in getting their cards made.
Cashless cover
Under the cashless treatment mechanism, beneficiaries are not required to make any payment at the hospital. The empanelled hospital provides treatment after verifying the health card and submits the claim to the implementing agency. Reimbursement is released within a stipulated time period. The Punjab government has already paid the insurance premium in advance to ensure continuity of services.
Financial implications
The scheme is being implemented through a hybrid financial model. Insurance coverage of Rs 1 lakh per family is provided through United India Insurance Company, while the remaining coverage up to Rs 10 lakh is funded directly by the Punjab government through the State Health Agency. A budgetary provision of Rs 1,200 crore has been made for the scheme.
Chief Minister Bhagwant Mann has stated that that the government had an objective of ensuring that no resident of Punjab is denied medical treatment due to financial constraints. By offering universal, cashless healthcare without income-based discrimination, the scheme places Punjab among the few states attempting population-wide health coverage through a single, comprehensive healthcare programme.
Scepticism over the scheme
Punjab is a debt ridden state burdened under a burgeoning subsidy bill of over Rs 22,000 crore. The high-cost tertiary healthcare for nearly 3 crore people of the state is being seen with scepticism with Punjab already carrying a heavy debt burden. Setting aside Rs 1200 crore, as estimated by the government, will be a challenge. Questions are being raised about the long-term sustainability of the scheme, especially if utilisation rises sharply once awareness and enrolment increase. The scepticism stems from the fact that in 2024-2025, private hospitals in Punjab, represented by the Private Hospital and Nursing Home Association (PHANA), suspended cashless treatment under the state-run health insurance scheme due to roughly Rs 600 crore in pending dues, which had been unpaid. In December 2025, the Punjab and Haryana High Court issued notices to both the Central and Punjab governments regarding “persistent and systemic delays” in clearing these payments. The scheme, which operated on a 60:40 (Centre:State) funding ratio, faced issues when the state failed to release its share of funds.
The Punjab government has introduced the Mukh Mantri Sehat Yojana, extending Rs 10 lakh annual cashless medical cover to every family in the state without income limits. (Representational image) 
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