In a statement the government said the move was “necessary to ensure all women have equal access to abortion.”
The move follows a long campaign by pro-choice organisations and was a manifesto promise by Socialist President Francois Hollande ahead of his election victory in June.
The government also announced that it would increase the amounts clinics are allowed to charge for carrying out abortions to bring them closer into line with their real costs and to facilitate better support for patients.
The total cost of the measures was estimated at 31.7 million euros in the first year of application. A total of 225,000 abortions were carried out in France in 2010, the last year for which figures are available.
As well as promising to ensure the costs of abortion are fully covered, Hollande’s election manifesto included a pledge to ensure terminations were available at every major hospital across the country.