Universal Health Coverage (UHC) ensures that all individuals, especially the vulnerable, receive quality healthcare services without experiencing financial hardship.
It is vital for reducing poverty and promoting shared prosperity. UHC strengthens human capital by enabling people to live healthier and more productive lives. According to the World Health Organization (WHO), UHC ensures access to essential health services—ranging from prevention to palliative care—throughout one’s life. Ultimately, UHC serves as a cornerstone for sustainable development and inclusive economic growth.
Current Health Coverage Scenario in India
In India, about 46% of the population has some form of health insurance, but the coverage is fragmented and often inadequate. While private health insurance exists, it covers a relatively small section of the population and cannot achieve UHC on its own. It also poses risks of high costs and may exclude vulnerable populations.
Experts suggest that India may temporarily expand well-regulated private insurance to cover the "missing middle"—those not poor enough for government schemes but unable to afford private insurance. However, achieving true UHC in the long term will require increased public funding, consolidation of insurance schemes, robust regulation, and enhanced healthcare delivery systems.
Key Government Initiatives Driving UHC
Ayushman Bharat – PM-JAY
The Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (PM-JAY) is the world’s largest government-funded health insurance scheme, managed by the National Health Authority (NHA). It offers free, cashless treatment up to ₹5 lakhs per family per year for serious medical conditions in both public and empaneled private hospitals. Covering over 55 crore people from more than 12 crore poor and vulnerable families, PM-JAY aims to reduce medical expenses that push millions into poverty. It follows a continuum of care model, aligning with Universal Health Coverage (UHC) and Sustainable Development Goals (SDGs).
In collaboration with global partners such as the WHO and World Bank, the NHA is working to refine and expand PM-JAY’s health benefits to better serve the population.
Ayushman Bharat Digital Mission (ABDM)
ABDM supports UHC by creating a reliable, inclusive, and secure digital health infrastructure. It facilitates online consultations, digital health records, and secure data sharing with patient consent.
By storing all medical information digitally, it reduces the risk of losing historical health records. With a focus on data privacy and security, ABDM aims to make healthcare services more efficient and accessible, especially for underserved populations.
Tax-Free Drugs and NHM Proposal
Under the National Health Mission (NHM), a major initiative provides essential medicines free of cost at all public healthcare facilities, including PHCs, CHCs, SDHs, and DHs. This reduces out-of-pocket expenditure (OOPE) and promotes treatment adherence.
Recommendations from recent reports include:
GST exemption on health and term insurance premiums to improve affordability.
Increased healthcare spending to 5% of GDP.
Standardized GST of 5%–12% on medical devices.
New tax deductions between ₹25,000–₹50,000 for life and health insurance.
Unification of pension schemes such as Atal Pension Yojana (APY), PM-SYM, and PM-KMY for improved efficiency.
Targeted Health Programs under NHM
National TB Elimination Programme (NTEP): Supplies anti-TB medications and supports the purchase of additional drugs (e.g., supplements, side effect relief) when central supplies fall short.
Health Minister’s Cancer Patient Fund (HMCPF): Offers up to ₹5 lakh, or ₹15 lakh in special cases, for cancer treatment through 27 Regional Cancer Centres, each with a ₹50 lakh revolving fund.
National Cancer Grid (NCG): Launched in 2012, now comprises 287 institutions treating over 750,000 new cancer patients annually, covering 60% of India’s cancer burden. It promotes affordable, standardized care and supports both PM-JAY and the ABDM.
As part of Budget 2025–26, the government plans to set up Day Care Cancer Centres in all district hospitals, beginning with 200 centres this year.
Budget Insights and Strategic Roadmap
The Union Budget 2025 has allocated ₹99,858.56 crore to healthcare, marking a 9.78% increase from the previous fiscal year’s ₹90,958.63 crore. Additionally, ₹2,445 crore has been allotted under the Production Linked Incentive (PLI) scheme to boost growth in the pharmaceutical sector.
Global Alliance: UHC2030
UHC2030, a global WHO-partnered alliance, brings together governments, civil society, and private sectors to advance the goal of UHC. Its priorities include:
Raising public and political awareness for UHC,
Enhancing collaboration among stakeholders,
Sharing knowledge and best practices.
UHC2030 supports country-level advocacy, offers tools and policy guidance, and promotes shared learning through global networks.
Conclusion
Universal Health Coverage is about ensuring that everyone can access quality healthcare without financial burden. India has taken significant steps through Ayushman Bharat, digital health missions, and public health programs. With global collaborations like UHC2030, the country is on a strategic path toward inclusive healthcare. However, more efforts are needed to strengthen systems, increase public spending, and ensure that no one is left behind. A future where healthcare is a right—not a privilege—is within reach.