Ayushman Bharat crisis: Government owes hospitals ₹1.2L crore across India
What's the story
The Ayushman Bharat health insurance scheme, launched by the Narendra Modi government in 2018, is facing a crisis. The scheme, which aims to provide health coverage of up to ₹5 lakh per family annually, has left over 32,000 empaneled hospitals across India with pending bills of over ₹1.21 lakh crore, The Print reported. This includes private and public hospitals in states like Haryana, Manipur, Rajasthan, and Jammu and Kashmir.
State crisis
Over 600 private hospitals suspended services in Haryana
In Haryana, the situation is particularly dire. Over 600 private hospitals have suspended the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) since August 7, citing pending bills amounting to ₹500 crore. Those still providing services are threatening to stop as well. The Indian Medical Association (IMA) staged a protest in Panipat on August 24, burning their Ayushman Bharat MoU in frustration over unpaid dues.
Trust deficit
'Systemic neglect and bureaucratic hurdles'
The crisis has created a rift between private hospitals and the government, with doctors accusing bureaucrats of not releasing funds on time. Dr. Suresh Arora, president of Haryana Ayushman Samiti, told ThePrint, "This scheme is suffering from systemic neglect and bureaucratic hurdles." He added that the root of the problem is a persistent budgetary mismatch and a shortfall of money.
Haryana
Beneficiaries increased from 40 lakhs to 1.4 crore
The situation in Haryana has been exacerbated by the launch of the state government's Chirayu Yojana in 2022, inspired by the Ayushman scheme. The Chirayu Yojana extends the same benefits to families with an annual income of up to ₹1.8 lakh. "With the advent of Chirayu Yojana, 60 percent of the Haryana population gets covered, which creates fund issues," said Arora. In other words, the number of beneficiaries increased from 40 lakhs to 1.4 crore between 2022 and today.
Patient impact
Patients left in the lurch
The ongoing crisis has left patients like Jameel, a cancer patient at Amrita Hospital in Faridabad, worried about their treatment. His daughter-in-law, Neha, said Ayushman Bharat was their only hope for his chemotherapy. However, other patients have been turned away or forced to pay out-of-pocket due to hospitals refusing to accept their Ayushman cards.
Official stance
Government to seek supplementary budget
Ankita Adhikari, joint CEO of Ayushman Bharat Haryana, admitted there have been delays in disbursing claims but blamed hospitals for not following guidelines. She also said the government will seek a supplementary budget in the upcoming assembly session. IMA officials had hoped for a positive outcome from a meeting with senior government officials slated for August 19. However, talks were postponed and the government has not determined the next meeting date.
Nationwide crisis
Similar problems reported in other states
The issues in Haryana are not isolated. Similar problems have been reported in Manipur, Rajasthan, and Jammu & Kashmir, where hospitals threatened to suspend services over unpaid dues. In February, Chhattisgarh penalized 33 private hospitals for fraudulent claims under the scheme. Compared to other states, three of the top five states with the most hospital admissions under Ayushman are in south India, according to National Health Authority. They are Tamil Nadu (88.75 lakh), Kerala (50.98 lakh), and Karnataka (49.96 lakh).