New Health Insurance Scheme Announced: Families to Receive Rs 25 Lakh Medical Coverage
The government has launched the Oommen Chandy Health Insurance Scheme, providing up to Rs 25 lakh in annual medical coverage for families. The budget also introduces the Gen-G Entrepreneur program, allocating funds to support young business owners and boost state-wide job creation.
Highlights
- •The Oommen Chandy Health Insurance Scheme provides Rs 25 lakh annual medical coverage per family.
- •Finance Minister VD Satheesan presented the UDF government's first budget for the 2026-27 fiscal year.
- •A new Gen-G Entrepreneur program offers Rs 50 crore in financial aid and support for young business owners.
- •State projects include a Rs 100 crore investment for a new Kerala Health and Life Sciences City.
The state government has unveiled a comprehensive Health Insurance Scheme, dubbed the Oommen Chandy Health Insurance Scheme, aimed at providing significant financial relief to residents. Presented as part of the state budget for the 2026-27 financial year by Finance Minister VD Satheesan, this policy guarantees annual treatment coverage of up to Rs 25 lakh for every eligible family. The government has committed an initial allocation of Rs 10 crore to kickstart this ambitious healthcare initiative, fulfilling a key electoral pledge made by the UDF government.
Beyond insurance, the budget addresses broader healthcare infrastructure and industrial growth. The administration plans to introduce specialized caregiver certification courses within medical facilities to bolster the workforce. Furthermore, the Medi-CEP program is slated for structural modifications. Addressing economic interests, the Finance Minister announced a 50 percent reduction in quarterly taxes for private bus operators, while also raising the support price for rubber from Rs 200 to Rs 250 per unit.
Expanding Healthcare Access and Supporting New Entrepreneurs
To further solidify the state's position as a hub for medical excellence, the government has announced the establishment of the Kerala Health and Life Sciences City. This project, supported by a Rs 100 crore investment, is designed to enhance medical care and foster innovation in research. Officials emphasize that this Health Insurance Scheme will drastically reduce the financial burden on families facing expensive medical procedures.
The budget also introduces significant support for the next generation of business leaders. A new program titled Gen-G Entrepreneur has been launched to assist budding business owners. With an initial earmark of Rs 50 crore, this initiative will provide crucial financial aid, grants, technical support, and interest-free loans to help young people launch their ventures. The government expects this effort to stimulate job creation and support the growth of new businesses across the state.
Additional developmental plans include a Rs 102 crore budget allocation for dairy development, with a goal to increase daily milk production to one crore liters within three years. Strategies are also in place to establish new storage facilities for coconuts and to revitalize the cashew industry. Furthermore, special incentives have been introduced to support workers in the state’s pottery manufacturing sector, ensuring a holistic approach to economic and social welfare.
