SRINAGAR: The Union Government has notified a nationwide cashless treatment scheme to ensure that victims of road accidents receive immediate medical care during the critical “golden hour” without having to arrange money upfront, the Ministry of Road Transport and Highways informed the Rajya Sabha.
In a written reply in the House, the Ministry said that the Cashless Treatment for Road Accident Victims Scheme, 2025 has been framed under Section 162 of the Motor Vehicles Act, 1988, as amended in 2019, which mandates the Central Government to provide a mechanism for cashless treatment of accident victims during the first hour after trauma. The scheme was formally notified in May 2025 and detailed operational guidelines, including standard operating procedures and the roles and responsibilities of various stakeholders, were issued in June 2025.
Under the scheme, every road accident victim will be entitled to cashless medical treatment of up to 1.5 lakh, subject to a maximum period of seven days from the date of the accident. The treatment costs will be settled directly under the scheme, removing the requirement for victims or their families to make advance payments to hospitals. The Government said the framework lays down a clear process flow to facilitate timely admission, treatment and settlement of claims so that emergency care is not delayed.
The Ministry indicated that the scheme has been designed to standardise the response of hospitals, authorities and other implementing agencies to ensure that accident victims receive immediate stabilisation and necessary medical intervention. It said comprehensive guidelines have been issued to streamline coordination among stakeholders and to enable smooth implementation.
The move comes against the backdrop of high road accident fatalities in the country, where delays in treatment during the first hour after injury often prove fatal. The Government said the scheme aims to remove financial barriers that prevent timely hospitalisation and to improve survival rates by guaranteeing access to emergency care.
The reply stated that the scheme has been notified and is being rolled out in accordance with the prescribed framework, with the objective of extending coverage across the country.
