The Insurance Regulatory and Development Authority of India (IRDAI) vide its press release dated 23rd April 2021 has directed the network hospitals to provide cashless treatment to policyholders for all treatments covered by the insurance policy including COVID-19 where insurers have a prior arrangement.
The development comes after many COVID-19 patients complained that some hospitals are not granting cashless facility for treatment of Covid-19 despite policyholders being entitled for the cashless treatment under their Policy.
Charging differential rates to policyholders, demanding advance deposits and denying cashless treatment to policyholders of health insurance policies is not only detrimental to the interest of policyholders but may also violative of the service level agreement between the service provider hospitals and the insurance companies.
“All hospitals are also requested not to differentiate the patients in terms of admission or treatment whether they are insured or not insured or whether they pay cash or avail of cashless facility. A gesture of this nature on the part of hospitals in these difficult times will re-inforce the confidence of the public in the healthcare system including health insurance and build trust.” the press release said.