Uttar Pradesh, India (PressExposure) October 08, 2009 -- The major insurance companies in India are asking many hospitals to set uniform hospital rates in order to reduce cost burden which comes in the form of health claims.
New India Assurance, the leading general insurance company has told its corporate customers that the company will negotiate with some hospitals and the reimbursement will be provided to that extent only. This means that policyholder will bear rest of the expenses if he goes to a hospital which is charging more than that.
The public sector insurance company has spread this information across many companies through its third-party administrator (TPA) MediAssist.
A list of hospitals is circulated to all group mediclaim policyholders through MediAssist to ensure that all the employees in these companies go to only recommended hospitals to take benefit of cashless facility.
The TPA said in a statement that the customers who will contact any other hospital for the treatment will not avail any settlement from the company's side as per its mediclaim policy and the differences will be suffered by the policyholder.
The newly circulated rate card is providing the standard charges for secondary as well as tertiary providers in both the categories of premium and non-premium. The rates are set with a difference for metros.
However, some leading corporates are not happy with the new decision taken by insurance companies. Pavanjit Singh Dhingra from Prudent Insurance Brokers who is also involved with some transactions of corporate buyers said that these changes are indicating some changes in the contract.
He added that it is not sensible to disturb the terms of contracts for controlling the costs. MediAssist and New India did not answered the queries.
However, the other part of industry is supporting the changes as president of Association of TPAs, Pawan Bhalla said that this is beneficial because it is more transparent and reduces the claims.