The Andaman and Nicobar Islands have received national recognition for their implementation of the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), with the Union Territory being awarded as the Best State/UT in the category of ‘Treatment of Beneficiaries’ during a Chintan Shivir held in Bhubaneswar on January 19 and 20, 2026. The award was conferred during the two-day event organised by the National Health Authority, highlighting the Islands’ approach to reducing financial hardship among patients seeking treatment under the flagship health assurance scheme.
The recognition centres on a set of measures adopted locally to address the unique challenges of geography and access faced by beneficiaries from the Islands, particularly those referred to empanelled hospitals on the mainland under portability provisions. Officials noted that the administration, through the State Health Agency, has operationalised a structured system of transport assistance and wage-loss compensation designed to lower out-of-pocket expenditure for families already dealing with medical emergencies.
Under this mechanism, eligible beneficiaries can receive transport assistance of up to ₹40,000 per referral when they travel outside the Islands for treatment. In addition, wage-loss compensation is provided at ₹1,000 per day for up to 20 days, subject to guidelines, with funds earmarked by the Union Territory administration meeting the expenditure. The initiative is intended to cushion both direct and indirect costs associated with hospitalisation away from home, including travel logistics and loss of income during the treatment period.
The transport and wage-loss support framework has been in operation since 2020. From its inception to date, 1,659 claims have been received and settled under the scheme, with a total expenditure of ₹2.78 crore incurred by the administration. Authorities state that the sustained financial backing has contributed to improved access to quality healthcare services, particularly for those requiring specialised procedures unavailable locally, while also helping to ensure that treatment decisions are not delayed due to cost concerns.
AB-PMJAY, the health assurance component of Ayushman Bharat, aims to provide financial protection to vulnerable families against high medical expenses. In island territories such as Andaman and Nicobar, where referral to mainland facilities is often unavoidable for advanced care, travel and associated expenses can form a significant portion of overall costs. The local support model seeks to address this structural issue within the broader national framework, aligning scheme benefits with regional realities.
The award was presented during the Chintan Shivir, a forum that brings together stakeholders to review implementation experiences and share best practices in the health insurance programme. The recognition places the Islands among leading performers in beneficiary-centric treatment support under the scheme, drawing attention to administrative interventions beyond hospital empanelment and claim processing.
Officials maintain that reducing out-of-pocket expenditure remains a key objective in public health financing, as such costs are a known factor in pushing households into financial distress. By combining scheme entitlements with locally funded assistance, the administration’s model attempts to bridge gaps that arise due to distance, transport dependency and loss of wages during prolonged treatment episodes.
The latest recognition underscores how sub-national adaptations within a centrally sponsored scheme can influence patient access and utilisation, particularly in geographically remote regions. Health authorities indicate that the experience from the Islands may inform ongoing discussions on beneficiary support mechanisms in other difficult terrains where travel and indirect costs act as barriers to care.
