August 29, 2025

The fiery clash between India’s Association of Healthcare Providers (AHPI) and Bajaj Allianz General Insurance over cashless health insurance has finally cooled down. AHPI called off its plan to suspend cashless services starting September 1, bringing relief to many health policy holders. This breakthrough came after a crucial meeting where both sides decided Bajaj Allianz will submit formal action plans by September 29, 2025, to fix bitter issues. Tapan Singhel, CEO and Managing Director of Bajaj Allianz, said, "We are pleased that the matter has been resolved in the interest of policyholders and citizens who must never face interruptions in their access to cashless healthcare. Cashless access is the backbone of health insurance and should never be compromised." He added with pride that insurers always work closely with hospitals and will keep partnering with them. Singhel also pointed out the urgency for a "strong health regulator" to protect citizens and bring fairness to healthcare. This regulator idea has been pushed for years by insurance companies to keep transparency alive. But what caused the big fuss? AHPI’s eight-point complaint list pointed fingers at insurers for delaying new hospital empanelments with endless talks and commercial haggling. They also blasted insurers for not raising tariffs for years. "Insurers have not revised rates for years, leading to undue financial stress on the hospitals," AHPI said. Hospitals claimed they were pressured to cut rates or lose cashless services. AHPI accused insurers of secretly agreeing on uniform low rates and squeezing hospitals financially. More troubles cropped up in payments: hospitals faced unexpected deductions. For example, implant costs were often argued over even when using well-known brands. New tech like robotics and modern cancer drugs got squeezed in payment disputes too. AHPI also warned that insurers question doctors' clinical decisions, pushing cheaper drugs and devices that might harm patients. Sometimes, pre-authorizations force hospitals not to bill for vital consumables insurers refuse to pay. One shocker: AHPI members said they were threatened with stopping cashless services for weak reasons. Girdhar Gyani, AHPI Director-General, demanded insurers update "outdated rates," ensure fair complaint systems, and respect doctors’ clinical freedom. With this hot topic now cooling, it’s clear all players must team up for smooth health coverage. After all, as Singhel said, "citizens must come first and their right to quality healthcare must always be protected." The stage is set for better partnership and healthier policyholders ahead!

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Tags: Ahpi, Bajaj allianz, Cashless health insurance, Hospital tariffs, Healthcare providers, Insurance dispute,