The cashless health insurance scheme, eagerly awaited by employees of the State government for quite sometime now, will be implemented with effect from January 1, 2013.

An understanding to this effect was reached between the government and leaders of 13 service organisations of the employees after successful discussions held with them by Chief Secretary Minnie Mathew here on Thursday. The Chief Secretary reportedly assured them that the decision to appoint a fresh pay revisions commission for them would be taken soon by Chief Minister N. Kiran Kumar Reddy.

G. Devi Prasad V. Srinivas Goud and other leaders of Telangana Employees’ Joint Action Committee took part in the discussions.

The understanding provided for reduction of premium payable by the employees from Rs.120- Rs.150 to Rs. 90 - Rs.120. The government had also agreed to raise the upper limit of the cost of treatment up to Rs.3 lakh.