Financial constraints are major barriers to healthcare in many low income countries. Health financing aims at ensuring funds availability and financial incentives to the providers making sure that all individuals have right to use the effective public and personal health care at affordable price. To achieve sustainability, it is necessary to look beyond what we have now and what we really want. “A sustainable health and care system is achieved by delivering high quality care and improved public health without exhausting natural resources or causing severe ecological damage.” (WHO, 2003). SHI is the one of the basic and important mode of health financing. It is the managerial mechanism for intensifying and gathering of funds to finance health services and also a part of Social Health Protection (SHP). Based on risk pooling HI is the form of managing and financing healthcare services. In Pakistan the phenomenon of Social Health Insurance (SHI) is for the poor group of society who are living below the poverty line and the program is inclined to social welfare. Through secondary and primary data analysis, it is concluded that SHI is the milestone towards UHC in the shape of SHP as a welfare program. The existing SHP in the form of PMNHP can be made sustainable by including population above PMT 32.5 on contributory basis that is they pay the premium so that benefits of resource pooling can be extended to the vulnerable groups. Supervisor:- Dr. Fazli Hakim Khattak