Pensioners Cashless Medical Limit Increased by West Bengal Government Along With DA Hike

Pensioners: The West Bengal Government’s Interim Budget for the fiscal year 2026-27 has brought a wave of relief for retired government employees in the state. Finance Minister Chandrima Bhattacharya has announced significant measures focusing on healthcare security and Dearness Allowance (DA), which are set to impact the lives of lakhs of senior citizens. This move is particularly crucial for pensioners grappling with age-related ailments and rising medical costs.

The budget reflects a strategic focus on social welfare, extending benefits not just to employees but also to grassroots workers. Here is a detailed breakdown of the key announcements.

Major Upgrade in West Bengal Health Scheme (WBHS) for Pensioners

Until now, pensioners under the West Bengal Health Scheme had a capped limit for cashless treatment. Acknowledging the soaring costs of medical care in private facilities, the state government has proposed a major revision to the existing rules.

• Existing Rule: Currently, pensioners are entitled to cashless medical treatment up to a limit of ₹2 Lakh.
• New Provision: In the 2026-27 budget proposal, the government has announced that if the treatment cost exceeds the ₹2 Lakh threshold, the beneficiary will not be left to bear the entire burden. The government proposes to cover 75% of the excess amount (the amount above ₹2 Lakh) under the cashless facility.
• Eligibility: This extended benefit will be applicable only when treatment is availed at government-empanelled private or government hospitals.
• Objective: The Finance Minister stated that this decision aims to reduce the financial stress on pensioners caused by escalating healthcare expenses. A formal notification detailing the procedure is expected to be issued soon.

DA Hike Following Supreme Court Observation

Apart from healthcare, the issue of Dearness Allowance (DA) has also been addressed. The Supreme Court of India recently directed the state government to clear 25% of the chaotic DA arrears immediately and settle the remaining 75% first installment by March 31st.

Following this directive, the Mamata Banerjee-led government announced a 4% hike in Dearness Allowance for state government employees in the interim budget. While this may not fully bridge the gap with central rates, it serves as an immediate interim relief.

Other Key Budget Highlights

The budget also encompassed welfare measures for other sections of society:

• Yuva Sathi Scheme: A new scheme targeted at the unemployed youth of Bengal has been introduced.
• Pay Hike for Asha Workers: Validating long-standing demands, the monthly honorarium for Asha workers has been increased by ₹1,000.
• Civic Volunteers: A salary hike has also been announced for Civic Volunteers assisting the police force.

This budget package, with its dual focus on healthcare security for the elderly and financial increments for workers, marks a significant step in the state’s welfare roadmap.