The Pension Fund Regulatory and Development Authority (PFRDA) has officially launched the NPS Swasthya Pension Scheme in the next 60-70 days, as confirmed by PFRDA Chairman S. Ramann. Speaking at a PFRDA event, Ramann confirmed that the regulator has received board approval for the scheme and is currently working on backend integration before the launch. As reported by PTI, Ramann stated that the scheme requires full integration at the back end before it can be rolled out to subscribers. The pension funds will tie up with insurance companies to provide top-up health insurance to National Pension System (NPS) subscribers.
NPS Swasthya is a bundled product that combines a dedicated pension account for medical expenses with a top-up health insurance cover. According to reports from PFRDA, pension funds will partner with insurance companies to offer the top-up health insurance to National Pension System (NPS) subscribers. The regulator had earlier stated in a January circular that the scheme would initially be launched by a pension fund as a proof of concept in collaboration with the Central Recordkeeping Agency and a Health Benefit Administrator (HBA) or Third Party Administrator (TPA).
Aditya Birla Health Insurance Co. Ltd. has been selected as the first service provider for the scheme, while more insurers are expected to join later. As reported by PFRDA, the NPS Swasthya scheme is now available to all categories of NPS subscribers. The regulator also confirmed that fees under the scheme will be governed by the Multiple Scheme Framework (MSF) and will be disclosed transparently, including payments made to the Health Benefit Administrator.
