Bengaluru, April 8 The Pension Fund Regulatory and Development Authority (PFRDA) has launched the second "Proof of Concept (POC) of NPS Swasthya," an initiative aimed at providing healthcare funding along with retirement planning.
According to a statement, PFRDA said that the National Pension System (NPS) Swasthya is a multi-partner initiative designed to provide comprehensive financial and health security.
The Pension Fund Regulatory and Development Authority (PFRDA) serves as the regulatory body. Medi Assist Healthcare Services acts as the core technology partner, providing digital infrastructure, while CAMS KRA supports subscriber onboarding and KYC enablement, and Tata Pension Fund and Axis Pension Fund serve as the designated pension fund managers.
The statement added that Aditya Birla Health Insurance provides integrated top-up insurance coverage, and Medi Assist TPA manages claims administration.
"This initiative addresses a growing gap in India's retirement landscape, where healthcare costs are projected to rise by 11.5 per cent to 14 per cent by 2026, significantly outpacing inflation and putting long-term financial security at risk for millions," PFRDA said.
The statement further added that this scheme comes at a time when the pension ecosystem is rapidly growing, with the National Pension System (NPS) and Atal Pension Yojana (APY) having a combined subscriber base of 9.64 crore and assets under management of Rs 16.55 lakh crore as of March 29, 2026.
NPS funds have traditionally remained locked until the subscriber reaches retirement age. NPS Swasthya is designed to provide subscribers access to a "Net Eligible Balance" up to 25 per cent of their contributions.
Subscribers can access these retirement funds for immediate medical expenses through the MAven App, developed by Medi Assist Healthcare Services, which features direct integration with the CAMS Central Recordkeeping Agency (CRA) API.