Road accidents continue to claim thousands of lives in India every year. Often, victims lose crucial time arranging money for hospital admission. However, the PM RAHAT Yojana aims to change that reality.
The Government of India has launched the PM RAHAT Scheme to guarantee immediate cashless treatment up to ₹1.5 lakh for road accident victims. More importantly, the scheme focuses on saving lives during the critical “golden hour.”
In this detailed guide, let us understand how PM RAHAT Yojana works, who can benefit, and why it matters for every citizen.
What is PM RAHAT Yojana?
The PM RAHAT Yojana (Road Accident Victims Hospitalisation and Assured Treatment) ensures emergency medical care for people injured in road accidents involving motor vehicles.
Unlike traditional health insurance schemes, PM RAHAT Yojana does not require prior registration. Instead, it automatically covers eligible accident victims across India.
The government notified the scheme under the Motor Vehicles Act to give it legal authority. Therefore, hospitals must follow its provisions.
Key Benefits of PM RAHAT Yojana
1. ₹1.5 Lakh Cashless Coverage
First and foremost, the scheme provides:
- Cashless treatment up to ₹1.5 lakh per victim
- Coverage for up to 7 days from the accident date
- Access to empanelled hospitals nationwide
As a result, victims no longer need to arrange money before receiving emergency care.
2. Immediate Stabilisation During the Golden Hour
Most importantly, PM RAHAT Yojana prioritizes urgent treatment.
The scheme covers:
- Up to 24 hours of stabilisation in non-life-threatening cases
- Up to 48 hours of stabilisation in critical cases
Consequently, hospitals can begin life-saving procedures immediately instead of waiting for financial clearance.
3. No Registration, No Premium
Another major advantage is simplicity.
- You do not need to enroll.
- You do not need insurance.
- You do not need income proof.
If a motor vehicle accident injures a person, the scheme covers them.
Therefore, PM RAHAT Yojana acts as a universal emergency safety net.
How PM RAHAT Yojana Works
Now let us look at the step-by-step process.
Step 1: Accident Reporting
Police, hospitals, or citizens report accidents through:
- Emergency helpline 112
- Digital accident reporting systems
- Direct hospital intimation
Step 2: Immediate Hospital Admission
Doctors admit the victim to the nearest empanelled hospital and start treatment immediately. They do not demand advance payment.
Step 3: Digital Claim Settlement
After providing treatment, hospitals submit claims digitally for reimbursement.
Additionally, the scheme integrates with Ayushman Bharat – Pradhan Mantri Jan Arogya Yojana hospital networks, which expands access across India.
Who Funds PM RAHAT Yojana?
The government finances the scheme through the Motor Vehicle Accident Fund (MVAF).
- If the vehicle has insurance, insurers contribute to the fund.
- If the vehicle lacks insurance, the government provides budgetary support.
Therefore, funding issues do not delay patient care.
Why PM RAHAT Yojana is Important
India reports one of the highest numbers of road accidents globally. Sadly, many deaths occur because families struggle to arrange hospital deposits.
However, PM RAHAT Yojana directly addresses this issue.
It:
- Removes financial barriers
- Encourages hospitals to act quickly
- Strengthens trauma response systems
- Supports vulnerable citizens
In short, the scheme saves time — and in emergencies, time saves lives.
Who Can Benefit from PM RAHAT Scheme?
The scheme covers:
- Drivers
- Passengers
- Pedestrians
- Two-wheeler riders
- Cyclists
As long as a motor vehicle causes the accident, the victim qualifies.
Limitations You Should Know
Although the scheme offers strong support, it has certain limits:
- Coverage stops at ₹1.5 lakh
- Treatment duration is limited to 7 days
- Only empanelled hospitals provide cashless services
- Long-term rehabilitation may require additional funding
Nevertheless, the scheme provides crucial emergency support.
PM RAHAT Scheme vs Private Insurance
| Feature | PM RAHAT Yojana | Private Insurance |
|---|---|---|
| Registration Required | No | Yes |
| Premium Needed | No | Yes |
| Emergency Coverage | Yes | Depends on policy |
| Government Backing | Yes | No |
| Focus on Golden Hour | Strong | Limited |
Clearly, PM RAHAT Yojana complements existing insurance systems rather than replacing them.
The PM RAHAT Yojana marks a significant step toward improving road safety and emergency healthcare in India. By guaranteeing ₹1.5 lakh cashless treatment and prioritizing immediate stabilisation, the government has created a safety shield for accident victims.
Moreover, the scheme reduces financial stress during emergencies, which allows families to focus on recovery instead of hospital bills.
If implemented effectively nationwide, PM RAHAT Scheme could reduce preventable deaths and strengthen India’s trauma care ecosystem.
Rajil M P is a seasoned banking professional with over eight years of experience in the Indian banking sector. He has successfully completed the JAIIB and CAIIB examinations conducted by the Indian Institute of Banking & Finance (IIBF), reflecting his strong academic foundation and practical expertise in banking, finance, and risk management. He is the founder and editor of IndianBanker.com, a trusted platform focused on banking news, exam preparation, financial updates, and practical tools for banking aspirants, professionals, and informed readers. Drawing from real-world banking experience, Rajil simplifies complex topics such as interest rates, loans, deposits, RBI policies, and government schemes, making them easy to understand and apply.
Discover more from Indian Banker
Subscribe to get the latest posts sent to your email.
