Suspension Of Cashless Services Puts Hospitals Under Financial Strain: AHPI & Bajaj Allianz General Insurance Company

New Delhi: The Association of Healthcare Providers of India (AHPI) on Thursday raised strong concerns with Bajaj Allianz General Insurance Company over the suspension of cashless services at several hospitals. In a meeting held between AHPI’s core committee members and senior officials from Bajaj Allianz, the association said that the move has put hospitals under financial stress and is causing serious inconvenience to patients.

According to AHPI, patients are being forced to pay out-of-pocket and are facing difficulties in accessing treatment at hospitals of their choice. AHPI also objected to what it described as pressure tactics by insurers, including the proposed GIC-led common empanelment process and attempts to push hospitals to lower their tariffs.

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The association argued that tariffs had not been revised for years despite rising medical costs and inflation and lowering them further would hurt the quality of patient care. “The association further drew attention to the fact that tariffs have not been revised by Bajaj Allianz for many years, despite consistent medical inflation and rising operational costs and the member hospitals cannot lower the tariffs further without compromising on clinical quality,” AHPI said in a statement.

Dr. Girdhar Gyani, Director General of AHPI, said the issues raised were not just about business disagreements but about patient rights and the survival of hospitals. He urged insurers to immediately restore cashless services and engage in regular dialogue with hospitals to revise outdated rates, set up proper grievance mechanisms, and respect doctors’ clinical decisions. “The biggest sufferers are patients when insurers deny claims, refuse to revise tariffs, or interfere in medical decisions.

These practices are coercive, unfair, and against the principles of accessible healthcare,” Dr. Gyani said. AHPI also highlighted concerns related to adoption of new medical technologies and constant questioning of doctors’ calls by insurers. The association said it expects insurers to resume cashless services in the coming days, after which it will review its advisory to member hospitals.

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