Relief for Patients as Private Hospitals in J&K Resume Ayushman Bharat Services

Srinagar, Sep 14:In a significant relief for patients across Jammu and Kashmir, private hospitals have resumed free health services under the Ayushman Bharat scheme after suspending them earlier this month. The decision came following assurances from the Secretary of Health and Medical Education that pending payments would be cleared soon.
Private hospitals had halted services under the scheme from September 1, citing non-payment of dues since **March 2024. The move left thousands of patients without access to free healthcare. However, after recent discussions, Secretary Health and Medical Education, Dr. Syed Abid Rasheed Shah, assured that the **Rs 200 crore** in outstanding payments would be disbursed shortly, prompting the hospitals to resume operations.

Secretary of the Private Hospitals Association, Maqsood Ahmad, confirmed that all services under Ayushman Bharat had been reinstated. “For the benefit of the public at large, services have resumed today after receiving assurances from the Health Department,” he stated.
The High Court had earlier directed the Jammu and Kashmir administration to utilize available funds to reimburse medical claims, pressuring authorities to resolve the payment delay.
The situation surrounding the Ayushman Bharat scheme became more complicated last year when IFFCO-TOKIO General Insurance Company, the scheme’s insurer in J&K, announced it would not renew its contract after March 2025 due to financial losses. This followed the expiration of a previous contract with Bajaj Allianz GIC  in 2022. Despite efforts by the State Health Agency (SHA) to retain IFFCO-TOKIO, the company refused, leading to a legal dispute that has been ongoing since February.
The High Court has now ordered IFFCO-TOKIO to continue its existing agreement under the Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana-SEHAT (AB-PMJAY-SEHAT) program, while arbitration between the company and the J&K government is pending.
While legal and financial uncertainties linger, the immediate resumption of services under Ayushman Bharat brings much-needed relief to patients across the region, ensuring they can once again access vital healthcare.