Government Support

Government of India 
Ministry of Health & Family Welfare 
Deptt. of Health & Family Welfare

Ministry of Health & Family Welfare is giving financial assistance to the poor patients for treatment at different hospitals in all over the country under the following two schemes: namely –

(i) Rashtriya Arogya Nidhi (RAN)- upto Rs. 1,00,000/- (Rupees one lakh only)
(ii) Health Minister’s Discretionary Grants (HMDG)

The Department related Parliamentary Standing Committee on Human Resource Development in their 31st Report on the functioning of the Central Government Hospitals under the Department of Health, had expressed concern about inadequate facilities for the treatment of poor patients for major illness. The committee felt that it was essential to explore all appropriate sources of funds to assist poor patients coming to AIIMS or other Central Govt. Hospitals for their treatment of specific life threatening illness. In view of the recommendations of the above Committee, it was decided to set up a National Illness Assistance Fund renamed Rashtriya Arogya Nidhi (RAN) under the Department of Health, Ministry of Health & Family Welfare. The Committee on non-Plan Expenditure in its meeting held on 17th October 1996 approved the proposal for setting up of the fund. Accordingly the Rashtriya Arogya Nidhi (RAN) has been set up vide Resolution No. F-7-2/96-Fin-II dated 13/1/97 as published in the Gazette of India (Extraordinary) and has been registered under the Society Registration Act, 1860, as an autonomous Society. This was set up with an initial contribution of Rs. 5 crores from Ministry of Health & Family welfare. The Fund could also be subscribed by individuals in India or abroad with the approval of FCRA, Corporate bodies in private or public sector, philanthropic organisations and all contributions made to this fund are exempt from payment of Income-Tax under section 80-G of Income-Tax Act, 1961. The Fund will provide financial assistance to patients, living below poverty line who are suffering from major life threatening diseases, to receive medical treatment at any of the super speciality Hospitals/Institutes or other Government hospitals. The financial assistance to such patients would be released in the form of ‘one-time grant’, which will be released to the Medical Supdt. of the Hospital in which the treatment has been/is being received. In a bid to speed up the assistance to the needy patients, the Scheme has been modified in January,1998 and an advance of Rs. 10 to 40 lakh has been kept with the Medical Supdts. of All India Institute of Medical Sciences (AIIMS), New Delhi, Dr. Ram Manohar Lohia Hospital, New Delhi, Safdarjung Hospital, New Delhi, Lady Harding Medical College(LHMC) & Smt. S.K. Hospital, New Delhi and Post Graduate Institute of Medical Education & Research (PGIMER), Chandigarh, Jawaharlal Institute of Post graduate Medical Education & Research (JIPMER) Puducherry, to enable sanction of an amount up to Rs. 1,00,000/-( as substituted from Rs. 50,000/- w.e.f. 02-06- 2008) in each deserving case reporting for treatment in the respective Hospital/Institute.

Financial Assistance up to a maximum of Rs. 50,000/- is available to the poor indigent patients from the Health Minister’s Discretionary Grant to defray a part of the expenditure on Hospitalization/treatment in Government Hospitals in cases where free medical facilities are not available. The broad criteria laid down for sanctioning such grants are : (i) Financial assistance is provided for treatment of major life threatening diseases in Govt. hospitals (list of categories of treatment enclosed). Financial assistance is not available for chronic diseases requiring prolonged treatment involving recurring expenditure and also for diseases for which free treatment is available under National Health Programmes, i.e. T.B., Leprosy etc. (ii) Reimbursement of expenditure already incurred is not permissible. (iii) Central as well as State Government employees are not eligible for grant under rules (iv) Only those having annual family income up to Rs.75,000/- and below are eligible for financial assistance from Health Minister’s Discretionary Grant. (v) Financial assistance is granted to (a) Rs.20, 000/- if the estimated cost of treatment is up to Rs. 50,000/- . (b) Rs. 40,000/- if the estimated cost of treatment is above Rs. 50,000/- & up to Rs. 1,00, 000/- .(c) Rs.50,000/- if the estimated cost of treatment is above Rs.1,00,000/-. (vi) The applicant has to submit to the Ministry of Health & Family Welfare an application in the prescribed Proforma duly filled in by the treating Doctor/HOD and countersigned by the Medical Superintendent of the Hospital where the patient is receiving the treatment, alongwith income certificate in original from the BDO/ Tehsildar/Collector /SDM/ SDO (Proforma at annexure-I).