The Supreme Court on Tuesday sternly directed the Central Government to implement, “in true letter and spirit,” the much-delayed cashless treatment scheme for road accident victims, providing up to ₹1.5 lakh per person per accident.
A bench comprising Justices Abhay S. Oka and Ujjal Bhuyan ordered the Centre to submit an affidavit by the end of August 2025 detailing the number of beneficiaries and the implementation status of the scheme. “We direct the Central Government to ensure that the scheme is implemented in its true letter and spirit,” the bench stated.
The scheme, notified by the Ministry of Road Transport and Highways and in effect since May 5, entitles any road accident victim to cashless treatment. According to the gazette notification, the scheme applies to accidents arising from the use of any motor vehicle on any road.
The Supreme Court’s intervention follows earlier criticism over the government’s delay in complying with its January 8 directive. On that date, the court had asked the Centre to frame a scheme to provide free medical treatment during the critical “golden hour” — the first hour after a traumatic injury when timely medical care can prevent death.
The court expressed strong dissatisfaction with the government’s inaction, pointing out that although Section 164A of the Motor Vehicles Act had been in force since April 1, 2022, the scheme was only framed after prolonged delays. “You are in contempt. You have not bothered to seek extension of time. What is this going on? You don’t care for your own statutes. Are you really working for the welfare of common man?” the bench questioned.
The court further highlighted the contradiction between rapid highway development and the failure to provide adequate emergency care for accident victims. It reminded the government of its statutory obligation under the Motor Vehicles Act to safeguard the right to life under Article 21 of the Constitution.
Under the current framework, general insurance companies are mandated to cover treatment costs, including during the golden hour. The Centre had submitted a draft concept note with a maximum cap of ₹1.5 lakh and treatment coverage for seven days. However, the petitioner’s counsel argued this was insufficient for comprehensive care.
The General Insurance Council (GIC) was also tasked with managing hit-and-run compensation claims and developing an online portal to streamline document submissions and minimize delays. The court noted that as of July 31, 2024, 921 such claims were still pending due to document deficiencies. The bench urged the GIC to actively coordinate with claimants to resolve the pending claims.
The Supreme Court has now firmly put the onus on the Centre to deliver on this crucial welfare measure, warning against further delays that could cost lives.
