On March 14, 2024, the ministry launched a pilot programme in Chandigarh, which was later expanded to six states to provide cashless treatment to road accident victims.
₹73.88 Lakh Disbursed, But 1 in 5 Accident Victims Still Fail Eligibility Checks Photo: Shutterstock
Nearly 20% of cashless treatment requests raised by road accident victims since March 2024 have been rejected by the police, the government informed Parliament on Thursday. The update comes as India prepares to roll out its nationwide cashless healthcare scheme for accident victims.
In a written reply to the Lok Sabha, Union Road Transport and Highways Minister Nitin Gadkari said a total of 6,833 treatment requests were submitted under the pilot phase of the Cashless Treatment of Road Accident Victims Scheme. Of these, 5,480 victims were found eligible, while the remaining cases were rejected by police authorities.
Since the launch of the initiative, ₹73.88 lakh has been disbursed from the Motor Vehicle Accident Fund (MVAF) towards hospital reimbursements. Out of 2,644 claims raised by hospitals and approved by State Health Agencies, payments have been processed for all eligible cases.
What the Scheme Offers
Launched in March 2024 as a pilot in Chandigarh and later expanded to six states, the scheme entitles road accident victims to cashless treatment of up to ₹1.5 lakh for a period of seven days from the date of the accident, irrespective of the type of road the incident occurs on.
The reimbursement is funded through the Motor Vehicle Accident Fund, which receives contributions from general insurance companies. So far, 32,557 hospitals have been empanelled under the National Health Authority to deliver cashless treatment services.
According to Gadkari, the government is now in the process of fine-tuning the scheme based on learnings from the pilot phase. Road Secretary V. Umashankar recently indicated that a nationwide rollout will follow once technical and operational adjustments are completed.
The scheme is expected to play a critical role in reducing preventable road fatalities by ensuring immediate medical intervention, especially in the crucial “golden hour” following an accident.
Highway Awards Slow Down, Challans Continue to Rise
Responding to additional questions, Gadkari noted that the pace of highway project awards has slowed over the last two financial years. This is due to stricter requirements such as ensuring 90% right of way before project initiation, obtaining forest and wildlife clearances, and finalising structural drawings for overbridges and underpasses. These measures, he said, are meant to ensure timely execution and avoid costly delays.
Meanwhile, enforcement on Indian roads has surged. As of November 30, 2025, authorities have issued 39.49 crore challans amounting to ₹59,761 crore. Of these, 14.97 crore challans have been disposed of, generating ₹21,684 crore through various payment modes, including digital channels.
Road Safety Audits Expanded
Highlighting road safety initiatives, the minister said the government has made road safety audits mandatory across all stages—design, construction, operation, and maintenance—of national highways. Since FY 2019-20, audits have been completed on 1,78,293 km of highways.
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