NPS to launch pension scheme with medical fund
The NPS will soon roll out a pilot NPS Swasthya Pension Scheme that lets you build a medical fund right inside your pension plan.
It's designed so you can set aside money for health expenses, all managed by your chosen pension fund and within official rules.
How it works
If you're a non-government NPS subscriber over 40, you can move up to 30% of your contributions into this medical account.
You'll be able to withdraw up to 25% of what you put in for health costs—just keep at least ₹50,000 in the account first.
For major medical bills (over 70% of your fund), you can use the whole amount.
As Pranay Dwivedi from SBI Pension Fund puts it, this scheme is meant to ease the financial stress that insurance often doesn't cover.
Fees will be announced later, and if it doesn't work out for you, moving your money back to your main NPS is an option.