India’s healthcare system has long struggled with affordability, accessibility, and quality. To address these challenges, the Government of India launched the Ayushman Bharat Scheme (Pradhan Mantri Jan Arogya Yojana – PM-JAY) in 2018. Popularly called Modicare, it is the world’s largest government-funded health assurance program, covering over 50 crore people.
For government exam aspirants, Ayushman Bharat is an essential topic in UPSC, SSC, Banking, Railways, and State PCS exams, as it connects public health, social justice, and governance. In this blog we have provided a comprehensive overview of the scheme with easy explanations, key takeaways, and practice questions.
What is Ayushman Bharat Scheme?
Ayushman Bharat is a national health protection scheme that aims to achieve Universal Health Coverage (UHC). It provides free health insurance of ₹5 lakh per family per year for secondary and tertiary care hospitalization.
The scheme was launched on 23 September 2018 in Ranchi, Jharkhand, by Prime Minister Narendra Modi. It is jointly funded by the Central and State Governments and implemented by the National Health Authority (NHA).
*It follows the principle of “Leave no one behind” in healthcare.
Why was Ayushman Bharat launched?
India’s healthcare system has long struggled with affordability, accessibility, and infrastructure gaps. The Ayushman Bharat Scheme was launched to bridge these gaps and provide universal health coverage.
| Challenges in Healthcare System | How Ayushman Bharat Addresses It |
| High out-of-pocket expenditure pushing millions into poverty | Reduces financial burden through free health coverage of ₹5 lakh per family per year |
| Limited access to quality hospitals in rural areas | Provides cashless treatment at empaneled public and private hospitals across India |
| Lack of digital health records and medical history tracking | Strengthens digital healthcare infrastructure via Ayushman Bharat Digital Mission (ABDM) and ABHA ID |
| Overcrowded public hospitals and costly private healthcare | Promotes preventive healthcare through 1.5 lakh Health & Wellness Centres to reduce hospital load |
What are the Components of Ayushman Bharat?
Ayushman Bharat has three key components:
| Components | Details |
| 1. Health and Wellness Centres (HWCs) | • Upgrade of 1,50,000 Sub-Health Centres & PHCs • Provide preventive, promotive, curative, rehabilitative care • Free medicines, diagnostics, maternal care, vaccinations • Focus on Non-Communicable Diseases (NCDs), child & elderly care, mental health counseling |
| 2. Pradhan Mantri Jan Arogya Yojana (PM-JAY) | • ₹5 lakh health insurance per family per year • No restriction on family size, age, or gender • Covers 1,900+ treatment packages (cancer, kidney, heart, surgeries) • Cashless & paperless treatment in empaneled hospitals • Covers pre-existing diseases from Day 1 |
| 3. Ayushman Bharat Digital Mission (ABDM) | • Launched in 2021 for digital healthcare • Provides ABHA ID (Ayushman Bharat Health Account) to citizens • Enables electronic health records, telemedicine, secure data sharing • Uses India’s digital infrastructure (Aadhaar, UPI, JAM Trinity) |
Who is Eligible for Ayushman Bharat Scheme?
Eligibility is based on Socio-Economic Caste Census (SECC) 2011 data.
Rural Beneficiaries
Families meeting at least one of these criteria:
- Households with no adult male (16–59 years).
- Families with disabled members and no able-bodied adults.
- SC/ST households.
- Landless households dependent on manual labour.
- Families living in one-room kutcha houses.
- Destitute households, manual scavengers, bonded labourers, primitive tribal groups.
Urban Beneficiaries
11 occupational categories covered, including:
- Ragpickers, beggars.
- Domestic workers, street vendors, cobblers, hawkers.
- Construction workers, plumbers, painters, security guards.
- Sanitation workers, sweepers, drivers, rickshaw pullers.
- Shop assistants, waiters, mechanics, electricians, tailors, washermen.
Exclusions
Not eligible if:
- Owns 2/3/4 wheeler, tractor, or mechanized farming equipment.
- Has Kisan Credit Card with ₹50,000+ limit.
- Government employees.
- Monthly income above ₹10,000.
- Owns pucca house, refrigerator, landline, or more than 5 acres of land.
What are the Benefits of Ayushman Bharat?
Under PM-JAY, families get ₹5 lakh coverage per year on a family floater basis.
Benefits include:
- Pre- and post-hospitalization (3 days before & 15 days after).
- Medicines and diagnostics.
- ICU and non-ICU services.
- Food and accommodation.
- Complications during treatment.
- Implants (like stents, prosthetics).
Treatment will be provided at both public and private empaneled hospitals.
What is the Importance of Ayushman Bharat?
The importance of the Ayushman Bharat Scheme are as follows:
- Financial protection – reduces out-of-pocket expenses.
- Universal healthcare – moves towards health for all.
- Healthcare equity – benefits poor and vulnerable groups.
- Digital transformation – through ABDM.
- Strengthens public health system – more funds, better equipment, more staff.
- Encourages private hospitals to treat weaker sections.
What are the Challenges of Ayushman Bharat?
Despite its success, challenges remain:
- Low awareness in rural areas.
- Fraudulent claims by private hospitals.
- Delayed payments discourage private participation.
- Overcrowded public hospitals.
- Digital divide – poor internet access in rural areas.
- Shortage of doctors and healthcare professionals.
What are the Achievements of Ayushman Bharat?
The achievement of the Ayushman Bharat Scheme are as follows:
- Over 35 crore Ayushman Cards issued (till 2024).
- 7.79 crore hospital admissions worth ₹1,07,000+ crore.
- 49% of beneficiaries are women.
- 30,000+ empaneled hospitals (public + private).
- 66 crore ABHA IDs created under ABDM.
- Cancer and NCD detection improved significantly.
Key Takeaways
| Feature | Details |
| Launch Year | 2018 |
| Ministry | Ministry of Health & Family Welfare |
| Implementing Body | National Health Authority (NHA) |
| Coverage | ₹5 lakh per family per year |
| Beneficiaries | 10.74 crore families (~50 crore people) |
| Eligibility | Based on SECC 2011 (Rural & Urban categories) |
| Components | HWCs, PM-JAY, ABDM |
| Benefits | Cashless treatment, pre/post hospitalization, medicines, ICU, implants |
| Achievements | 35 crore Ayushman Cards, 7.79 crore admissions, 30,000+ hospitals |
| Challenges | Fraud, low awareness, digital divide, shortage of hospitals & doctors |
Exam-Style Questions on Ayushman Bharat Scheme
Q1. Ayushman Bharat Scheme was launched in which year?
a) 2015
b) 2017
c) 2018
d) 2019
e) 2020
Answer: c) 2018
Q2. Who implements PM-JAY at the national level?
a) NITI Aayog
b) Ministry of Finance
c) National Health Authority
d) Ministry of Rural Development
e) IRDAI
Answer: c) National Health Authority
Q3. What is the maximum health cover under Ayushman Bharat PM-JAY?
a) ₹2 lakh
b) ₹3 lakh
c) ₹4 lakh
d) ₹5 lakh
e) ₹10 lakh
Answer: d) ₹5 lakh
Q4. PM-JAY eligibility is based on which census data?
a) Census 2001
b) SECC 2011
c) NFHS-5
d) Economic Survey
e) NSSO 2014
Answer: b) SECC 2011
Q5. Which of the following is NOT covered under PM-JAY?
a) Pre-hospitalization expenses
b) Post-hospitalization expenses
c) Cosmetic surgery
d) ICU services
e) Medicines and diagnostics
Answer: c) Cosmetic surgery
Q6. Ayushman Bharat Digital Mission was launched in which year?
a) 2017
b) 2018
c) 2019
d) 2020
e) 2021
Answer: e) 2021
Q7. Which state was the first to launch Ayushman Bharat?
a) Bihar
b) Jharkhand
c) Uttar Pradesh
d) Gujarat
e) Maharashtra
Answer: b) Jharkhand
Q8. What is ABHA ID?
a) Bank account number
b) Aadhaar linked insurance ID
c) Ayushman Bharat Health Account ID
d) Farmer subsidy card
e) Pension ID
Answer: c) Ayushman Bharat Health Account ID
Q9. How many days of post-hospitalization are covered under PM-JAY?
a) 7 days
b) 10 days
c) 12 days
d) 15 days
e) 20 days
Answer: d) 15 days
Q10. Who funds Ayushman Bharat PM-JAY?
a) Only Central Govt.
b) Only State Govts.
c) Central and State Governments jointly
d) Insurance Companies
e) World Bank
Answer: c) Central and State Governments jointly
Q11. What is the budget allocation for Ayushman Bharat in FY 2021-22?
a) ₹5,000 crore
b) ₹6,500 crore
c) ₹8,088 crore
d) ₹10,000 crore
e) ₹12,000 crore
Answer: c) ₹8,088 crore
Q12. Which category of workers in urban areas is NOT covered under PM-JAY?
a) Street vendors
b) Domestic workers
c) IT professionals
d) Rickshaw pullers
e) Sanitation workers
Answer: c) IT professionals
Q13. PM-JAY provides hospital treatment on which basis?
a) Individual basis
b) Family floater basis
c) Only senior citizens
d) Only women
e) Only children
Answer: b) Family floater basis
Q14. Which principle does Ayushman Bharat follow?
a) Minimum government, maximum governance
b) Leave no one behind
c) Make in India
d) Self-reliant India
e) Digital India
Answer: b) Leave no one behind
Q15. Which disease category is covered from Day 1 under PM-JAY?
a) Infectious diseases only
b) Pre-existing diseases
c) New illnesses only
d) Seasonal diseases
e) None of these
Answer: b) Pre-existing diseases
Q16. Which ministry oversees Ayushman Bharat Scheme?
a) Ministry of Finance
b) Ministry of Social Justice
c) Ministry of Health & Family Welfare
d) Ministry of Labour
e) Ministry of Rural Development
Answer: c) Ministry of Health & Family Welfare
Q17. Which of the following is a challenge of PM-JAY?
a) High awareness
b) Fraudulent claims
c) Overfunding
d) High doctor-patient ratio
e) Surplus hospitals
Answer: b) Fraudulent claims
Q18. Ayushman Bharat Scheme is also known as:
a) Bharat Health Card
b) Modicare
c) Healthy India Yojana
d) Jeevan Suraksha Yojana
e) Samajik Swasthya Mission
Answer: b) Modicare
Q19. Which of the following is NOT an objective of Ayushman Bharat?
a) Reduce medical expenses
b) Provide digital health records
c) Support preventive care
d) Provide crop insurance
e) Ensure cashless hospitalization
Answer: d) Provide crop insurance
Q20. What is the total number of empaneled hospitals under PM-JAY as of 2024?
a) 10,000+
b) 20,000+
c) 25,000+
d) 30,000+
e) 40,000+
Answer: d) 30,000+
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