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Tamil Nadu Raises Health Insurance Cover to ₹25 Lakh, Plans ₹300 Crore 400-Bed Multispecialty Hospital

The Tamil Nadu government has announced a major expansion of healthcare benefits and infrastructure, increasing annual coverage under the Chief Minister's Comprehensive Health Insurance Scheme (CMCHIS) from ₹5 lakh to ₹25 lakh per family and

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The Tamil Nadu government has announced a major expansion of healthcare benefits and infrastructure, increasing annual coverage under the Chief Minister’s Comprehensive Health Insurance Scheme (CMCHIS) from ₹5 lakh to ₹25 lakh per family and planning a new 400-bed multispecialty hospital in Perambur, Chennai, with an estimated investment of ₹300 crore.

The five-fold increase in health insurance coverage is expected to strengthen financial protection for approximately 1.45 crore families across the state, providing greater support for hospitalisation and advanced medical treatment. The announcement was made as part of a series of healthcare and welfare measures introduced by the Tamil Nadu government.

The proposed 400-bed hospital in Perambur is expected to expand access to specialised and tertiary healthcare services in Chennai. Alongside the new hospital, the government has also announced plans to strengthen cancer care infrastructure, including an advanced cancer treatment centre at Rajiv Gandhi Government General Hospital in Chennai at an estimated cost of ₹470 crore, as well as cancer centres at five regional government hospitals.

The state has also outlined measures to expand the healthcare workforce and medical education capacity. An allocation of ₹351 crore has been announced to create 6,098 additional seats across nursing, pharmacy, medical and paramedical education. The expansion includes 660 B.Sc. Nursing seats, 1,925 seats in nursing colleges and schools, 2,778 seats across 12 paramedical courses and 735 medical seats, along with plans to establish seven new government nursing colleges.

In another healthcare-focused measure, specialised medical and surgical services for transgender persons are planned across seven government medical college hospitals, including facilities in Chennai, Tirunelveli, Thoothukudi and Kanniyakumari.

The expansion of CMCHIS coverage from ₹5 lakh to ₹25 lakh represents one of the most significant enhancements to the state’s public health financial protection framework. The scheme currently provides eligible beneficiaries access to healthcare services through empanelled government and private hospitals, with the objective of reducing out-of-pocket expenditure and improving access to hospital-based treatment.

With higher insurance protection, a new 400-bed multispecialty hospital, expanded cancer treatment facilities and additional medical education seats, the announcements signal a broader push to strengthen Tamil Nadu’s healthcare infrastructure, specialist capacity and access to advanced treatment services.

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