Context:

On May 5, 2025, the Ministry of Road Transport and Highways (MoRTH) officially notified the Cashless Treatment of Road Accident Victims Scheme, 2025, aimed at providing immediate and free medical care to road accident victims during the crucial “golden hour”. Introduced under Section 162(2) of the Motor Vehicles Act, 1988, the scheme enables access to lifesaving treatment without financial burden.

Key Features of the Scheme

• Under the scheme, any person injured in a road accident involving a motor vehicle on any public road is entitled to cashless treatment of up to ₹1.5 lakh for seven days from the date of the accident.
• Treatment is available at designated hospitals, including those empanelled under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana.
• This benefit extends to all victims, even those without insurance. If initial treatment begins at a non-designated hospital, only stabilisation procedures are covered as per guidelines.
• The scheme focuses on the golden hour—the first hour after a traumatic injury—during which prompt treatment significantly increases survival chances. The term is defined under Section 2(12A) of the Act.

Implementation and Monitoring:

• The State Road Safety Council is the nodal agency for state-level implementation. It will coordinate with the National Health Authority (NHA) to onboard hospitals, manage victim treatment, and facilitate payments.
• After discharge, the hospital must raise a claim on a centralised portal. The State Health Agency will verify and approve or reject the claim (fully or partially), with reasons recorded on the portal. Payment is made from the Motor Vehicle Accident Fund within 10 days of approval.
• At the central level, a Steering Committee—chaired by the Secretary, MoRTH, and co-chaired by the CEO, NHA—will monitor implementation. Members include officials from the Ministries of Home, Health, and the General Insurance Council. The committee will meet at least twice a year and may seek information from state councils and implementing agencies.

Significance and Road Safety Context:

India records one of the world’s highest road accident rates. In 2023, over 4.80 lakh accidents led to 1.72 lakh deaths, up from 1.68 lakh deaths in 2022. This rising trend underlines the urgency of timely trauma care.

• The scheme supports India’s pledge to the United Nations Decade of Action for Road Safety (2021–2030), targeting a 50% reduction in road deaths by 2030.

Other Government Initiatives:

• Motor Vehicles (Amendment) Act, 2019: Imposes strict penalties and uses tech for enforcement.
• e-DAR Project: Establishes a central accident data repository.
• Road Safety Audits: Now mandatory for all National Highway projects.
• Good Samaritan Scheme: Rewards citizens who assist accident victims within the golden hour.

Conclusion:

The Cashless Treatment Scheme is a vital policy intervention to reduce road fatalities by ensuring immediate care without cost concerns. Its effective implementation could mark a turning point in India’s road safety strategy.