The scheme was launched by Ministry of Road Transport and Highways (MoRTH) based on the powers given by the Motor Vehicles Act, 1988.

Key Provisions of the Scheme

• Eligibility: Any person being a victim of road accident arising out of use of motor vehicle occurring on any road.
• Coverage: Victims are eligible for cashless treatment up to Rs 1.5 Lakhs at designated hospitals for a maximum period of 7 days from the date of the accident.
• Nodal Agency: The State Road Safety Council.
• Designated hospitals: States must onboard all capable hospitals, (including those empanelled under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana), for trauma and poly-trauma care.
• Payments to Hospitals: Hospitals can raise claims which are verified by the State Health Agency with payment made from Motor Vehicle Accident Fund within 10 days.
• Scheme Monitoring Mechanism: Overseen by a committee, chaired by the Secretary of the MoRTH.

Importance of Implementing Road Safety Measures in India

• Road Accident Status: In 2022, a total of ~4.6 lakh road accidents were reported resulting in ~1.68 lakh deaths.
  • India faces highest road accidents globally.
• Fulfilling International commitment: United Nations Decade of Action for Road Safety's goal to halve traffic deaths by 2030.