PFRDA Chief Calls NPS Swasthya an Experiment

Mumbai (Maharashtra), February 21, 2026:

PFRDA Chairperson Sivasubramanian Ramann described ICICI Pension Fund’s NPS Swasthya Equity Plus (SEP) scheme as an “experiment” under the National Pension System regulatory sandbox.

During a press conference in Mumbai, Ramann compared the new initiative with Ayushman Bharat. He emphasised that regulators will assess public response before expanding the product nationwide.

NPS Swasthya Equity Plus in Trial Phase

According to Ramann, PFRDA is testing the scheme for a specific consumer segment. Through the regulatory sandbox model, authorities examine innovative financial products before approving large-scale implementation.

Currently, the regulator is closely tracking subscription numbers. The Chairperson said the authority believes a viable market segment exists, which prompted the pilot rollout.

While praising Ayushman Bharat as a bold healthcare initiative, Ramann clarified that it now operates as a full-scale national scheme. In contrast, NPS SEP remains in the experimental stage.

Core Objective of the Scheme

Explaining the philosophy behind Swasthya Equity Plus, Ramann said the scheme aims to build a pension-smart account. The broader goal is to create a benchmark for future pension innovation.

At the same time, he clarified that medical insurance remains the primary protection against healthcare expenses. According to him, this scheme only supplements insurance coverage and does not replace it.

Additionally, he highlighted initiatives such as NPS Vatsalya and the new health-focused pension framework. These efforts aim to strengthen citizens’ financial preparedness.

ICICI Pension Fund Shares Key Details

Sumit Mohindra, CEO of ICICI Pension Fund Management Limited, explained the structure of the scheme. The Rs 50,000 requirement represents cumulative contributions rather than a one-time payment.

Under the current framework, subscribers can use 25 percent of their contributions for emergency medical needs. Based on the Proof of Concept results, the company may adjust the structure later.

Unlike traditional NPS accounts, which limit withdrawals to four times during the tenure, the Swasthya scheme allows unlimited withdrawals within the 25 percent cap.

Regarding investments, the scheme allows 70 to 100 percent allocation in equity due to its long-term nature. It also permits up to 30 percent investment in debt instruments and 10 percent in money market instruments.

Healthcare Withdrawals and Digital Access

Subscribers can withdraw funds for OPD services, diagnostics, hospitalisation, and pharmacy expenses. The Apollo 24/7 platform processes these transactions at selected Apollo Hospitals and Apollo Pharmacy outlets.

For security, users authenticate withdrawals through OTP verification. KFintech directly transfers funds to the Apollo network.

The company has launched the pilot phase physically in Bengaluru and Hyderabad. However, customers across India can access the scheme digitally at any time.

To enrol, individuals must open an account through the ICICI Pension Fund website or the Apollo 24/7 mobile application. PFRDA regulations require subscribers to maintain a standard NPS account alongside the Swasthya account.