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Insurers’ Council Condemns AHPI Plan To Halt Cashless Care for Bajaj Allianz as Sept. 1 Deadline Nears

Talks scheduled this week could avert out-of-pocket payments for policyholders.

Overview

  • AHPI has advised more than 15,000 member hospitals in North India to suspend cashless treatment for Bajaj Allianz policyholders from Sept. 1, with care to continue on a self-pay basis followed by reimbursement.
  • The General Insurance Council called the advisory arbitrary and urged AHPI to withdraw it and keep cashless services running for policyholders.
  • AHPI and Bajaj Allianz are set to meet on Aug. 28, and the hospital body says it will withdraw the advisory if a new agreement is reached.
  • A similar notice has been sent to Care Health Insurance with an end‑August response deadline, though any suspension for its customers remains contingent on negotiations.
  • Hospitals cite outdated reimbursement tariffs, 7–8% annual medical inflation, deductions, delays and pre‑authorisation hurdles, while Bajaj Allianz says it was surprised and is engaging to resolve issues; AHPI also plans outreach to CCI and IRDAI and a stakeholder summit on Sept. 13.