New Delhi: Months after Minister of Road Transport and Highways Nitin Gadkari announced that the Union  Government would launch a nationwide cashless treatment scheme for road accident victims, the government on Tuesday, May 5, officially notified that each victim would get Rs 1.5 lakh as part of the scheme. The scheme has come into effect from May 5, 2025.

A victim will be entitled to cashless treatment at any designated hospital for a maximum amount of up to Rs 1.5 lakh, as per the gazette notification issued by the Ministry of Road Transport and Highways, under this scheme (Cashless Treatment of Road Accident Victims Scheme, 2025). The scheme benefit would be available only up to seven days from the date of accident.

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Any person being a victim of a road accident arising out of the use of a motor vehicle, occurring on any road, shall be entitled to cashless treatment in accordance with the provisions of this scheme, the notification said.

The scheme would be implemented through an IT platform, combining the functionalities of the e-Detailed Accident Report (eDAR) application of the Ministry of Road Transport and Highways and the Transaction Management System of  National Health Authority (NHA).

While addressing a press conference in January, Gadkari noted that the victims were entitled to cashless treatment up to a maximum of ₹1.5 lakh per accident per person for a maximum period of 7 days from the date of the accident, underlining that the government would come up with a more modified form soon.

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The NHA, which serves as the implementing agency for this significant programme, will coordinate with the police, hospitals and State Health Agency, among others, in order to implement it. The State Road Safety Council in each state and Union Territory will act as the nodal agency responsible for the scheme’s implementation within their jurisdiction.

Through a special portal, the matters including onboarding of designated hospitals, the treatment of victims, payment processes to hospitals, among others, will be coordinated. The government would also establish a committee to monitor the effective implementation of this nationwide scheme.