Over 600 Private Hospitals Exit Ayushman Bharat Scheme; Gujarat Leads the List

New Delhi (The Uttam Hindu): A major concern has emerged regarding the Central Government's flagship health scheme, Ayushman Bharat–Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), as more than 600 private hospitals have withdrawn from the program since its launch in 2018. According to official data presented in the Rajya Sabha, a total of 609 hospitals have exited the scheme, citing delayed payments and insufficient reimbursement rates as key reasons. Gujarat has witnessed the highest number of withdrawals, with 233 hospitals opting out, followed by 146 in Kerala and 83 in Maharashtra.
Hospitals have expressed frustration over pending dues and a lack of timely fund disbursement by state governments. For example, in Haryana, the Indian Medical Association reported that over ₹400 crore in dues were pending, prompting hundreds of private hospitals to suspend services under the scheme. Similar calls for suspension have surfaced from associations in Punjab and Jammu & Kashmir. Additionally, private hospitals in states like Chhattisgarh and Gujarat have cited a lack of government referrals and restrictions on treatment packages as further reasons for opting out.
Despite these challenges, the government maintains that it is addressing the issues. The National Health Authority has guidelines mandating the settlement of claims within 15–30 days depending on the hospital’s location. The scheme, launched in 2018, aims to provide free annual health coverage of up to ₹5 lakh to over 55 crore people. Though it has benefited crores of patients and issued 36 crore Ayushman cards, the growing withdrawal of private hospitals poses a significant challenge to ensuring access to quality healthcare for the nation’s poor. The government has promised to review package rates and expedite payments to retain private sector participation.
