This initiative is designed to combine retirement savings with healthcare support—something many people worry about in the long run.
The second version, called Proof of Concept 2 (PoC 2), came into effect on 7 April 2026 and brings more flexibility and better features for users.
What is NPS Swasthya PoC 2?
NPS Swasthya is a special scheme that links health expenses with your retirement planning.
Under this updated version, a new scheme called “ICICI PF NPS Swasthya Equity Plus” has been introduced in the testing phase.
The goal is to improve the system based on feedback and make it more useful for subscribers.
This new version allows the government and stakeholders to test how the scheme performs in real-life situations before a wider rollout.
Health Insurance is Now Mandatory
One of the biggest changes in PoC 2 is that health insurance is now compulsory.
Subscribers will get health insurance benefits along with their pension plan.
The insurance will follow rules set by the Insurance Regulatory and Development Authority of India.
The premium for this insurance will be deducted directly from your NPS account as a partial withdrawal.
All details like coverage, exclusions, and claim process will be clearly shared with users.
Minimum Investment Requirement
To join the scheme, you need to make an initial contribution of ₹25,000.
Once this amount is deposited, you become eligible to access the benefits of the NPS Swasthya scheme.
Emergency Exit Option for Medical Needs
The scheme also provides a major relief feature during medical emergencies.
If a subscriber faces high hospital expenses that go beyond the allowed withdrawal limit, they can withdraw 100% of their funds as a lump sum.
This money will be directly paid to the hospital or healthcare service provider.
If any amount remains after paying the bills, it will be transferred back to the subscriber’s account.
What Stays the Same?
All other rules from the earlier version of the scheme (launched in January 2026) will continue without any changes.
The scheme will still be launched in a controlled environment under a “sandbox” approach, meaning it will be tested with limited users before expanding further.
This move by PFRDA shows a growing focus on combining healthcare and financial security.
With rising medical costs, such schemes could play an important role in helping people manage both retirement and health expenses more effectively.
