The main objective of this scheme is to

  1. Provide financial protection against catastrophic health costs
  2. Improve access to quality health care for below poverty line households and other vulnerable groups in the unorganized sector

It is a centrally sponsored health insurance scheme designed to target Below Poverty Line (BPL) households and unorganized workers like covering construction workers, street vendors etc.

The premium cost is shared by Centre and the State.

The beneficiaries are entitled to hospitalization coverage up to Rs. 30,000/- per annum on family floater basis i.e can be utilised by any family member.

The coverage extends to maximum five members of the family which includes the head of household, spouse and up to three dependents including the provision to pay transport expense.

The beneficiaries need to pay only Rs.30 as registration fee for a year.

Beneficiaries get a biometric-enabled smart card containing their fingerprints and photographs and this Single central smart card also to include other welfare schemes like Aam Aadmi Bima Yojana and national old age pension scheme.

Earlier the scheme was under the Ministry of Labour and Employment