The Pension Fund Regulatory and Development Authority (PFRDA) has introduced a new healthcare-linked facility under ‘NPS Swasthya’, aimed at combining retirement savings with medical support for subscribers.
Under this initiative, eligible National Pension System (NPS) subscribers can now use a portion of their pension corpus to meet hospitalisation and in-patient treatment expenses, while the remaining funds continue to grow through market-linked investments.
Subscribers are allowed to access up to 25% of their “Net Eligible Balance” for medical emergencies. This marks a shift from the traditional NPS structure, where funds remain locked until retirement, offering greater flexibility during healthcare needs.
The programme has been developed through a partnership involving the pension regulator and multiple stakeholders, including pension funds and health insurance players. It is powered by Medi Assist’s digital “Maven” platform, which is integrated with the Central Recordkeeping Agency system for seamless processing.
The initiative also provides access to a wide hospital network across India, enabling cashless treatment facilities for subscribers in more than 1,500 cities, along with support for outpatient care services.
Officials said the move aims to strengthen India’s social security system by linking retirement planning with healthcare protection, ensuring financial support during medical emergencies without disrupting long-term savings.
