Road accident cashless treatment scheme settles 62% claims in 5 months

More than five months after its launch, the PM-RAHAT scheme has settled only 7,871 of 12,727 claims, with Gujarat and Madhya Pradesh accounting for the bulk of reimbursements

More than five months after its launch, the PM-RAHAT (Road Accident Victims' Hospitalisation and Assured Treatment) scheme has settled only 62 per cent of claims filed under its cashless treatment programme for road accident victims, the government told the Lok Sabha on Thursday.

 

In a written reply to an unstarred question in Lok Sabha, Road and Transport Minister Nitin Gadkari said that as of July 28, hospitals had initiated 12,727 claims under the scheme, but only 7,871 had been settled, with total disbursements amounting to just ₹10.1 crore. Of the total claims, 9,601 were approved by state health authorities, highlighting a significant gap between claims approved and those finally reimbursed under a scheme designed to provide immediate cashless emergency treatment to road accident victims.

 

 

What is the PM-RAHAT scheme?

 

The scheme was notified in May 2025, and detailed implementation guidelines were issued the following month. It was formally launched by Prime Minister Narendra Modi on February 13, 2026, under Section 162 of the Motor Vehicles Act, 1988.

 

Under PM-RAHAT, a person injured in a road accident on a National Highway is entitled to cashless treatment at an empanelled hospital. Instead of the patient bearing the treatment cost or seeking reimbursement later, the hospital submits the claim under the scheme. The state health authority scrutinises the claim, and once it is approved, the Central government reimburses the hospital.

 

The scheme aims to provide cashless treatment up to a specified limit, ensuring that road accident victims receive timely emergency medical care without having to bear upfront expenses while reducing delays in treatment and out-of-pocket healthcare costs.

 

Which states account for most of the claims?

 

According to the government's reply in the Lok Sabha, the scheme's utilisation remains heavily concentrated in a handful of states. Gujarat leads the country with 4,308 claims initiated, 3,669 approved and 3,355 settled. Madhya Pradesh follows with 3,850 claims initiated, 3,290 approved and 2,597 settled.

 

Assam has recorded 1,557 claims initiated, of which 1,263 have been approved and 931 settled. Jammu and Kashmir has initiated 472 claims, with 51 approvals and 43 settlements. Odisha has recorded 306 claims, including 262 approvals and 231 settlements, while Chhattisgarh has initiated 304 claims, with 284 approvals and 211 settlements. Haryana has reported 267 claims, of which 91 have been approved and 40 settled.

 

Together, Gujarat and Madhya Pradesh account for nearly two-thirds of all claims initiated under PM-RAHAT and almost four-fifths of the total amount disbursed so far, underscoring the uneven implementation of the scheme across the country.

 

Which states are seeing poor utilisation?

 

A striking feature of the data is the low participation from states that report some of the highest numbers of road accident deaths on National Highways. Despite recording 3,913 road accident fatalities on National Highways in 2026, Uttar Pradesh initiated only 344 claims under the scheme. Of these, just 14 were approved and only five were settled, resulting in virtually no payout.

 

Rajasthan presents a similar picture. The state recorded 2,417 highway fatalities during the year but initiated only 144 claims under PM-RAHAT, none of which had been approved as of July 28.

 

Other states with a high accident burden have also reported limited utilisation of the scheme. Maharashtra, Tamil Nadu, West Bengal, Delhi and Punjab have seen only a handful of claims initiated, with little or no reimbursement disbursed. Tamil Nadu, for instance, recorded 3,520 highway fatalities in 2026 but initiated only seven claims, none of which had reached the settlement stage.

 

In a written reply to the Lok Sabha, Road Transport and Highways Minister Nitin Gadkari said the ministry is working with states and Union Territories to empanel more hospitals, particularly those located near accident-prone stretches of National Highways. He added that states have also been advised to ensure emergency treatment for road accident victims through appropriate legal provisions.