AHPI Asks Hospitals to Stop Cashless Treatment for Bajaj Allianz Customers

The Association of Healthcare Providers - India (AHPI), representing over 15,000 hospitals nationwide, has instructed its member hospitals in North India to suspend cashless treatment for policyholders of Bajaj Allianz General Insurance Company, effective September 1.

- MPOST BUREAU

The move comes after hospitals reportedly faced repeated challenges with the insurer over reimbursement rates, delays in payments, and prolonged approval times for pre-authorisation and discharge processes.

AHPI stated that many of the existing agreements were based on now-expired contracts and that hospitals were being pressured to accept lower tariffs despite rising medical costs. "Medical inflation consistently hovers around 7-8 per cent per year due to increases in medicines, consumables, utilities, and other overheads," AHPI Director General Girdhar Gyani said. "While hospitals strive to improve efficiency, operating at outdated rates—or lowering them—is unsustainable and threatens patient care, which we will not compromise." AHPI said it had previously communicated these concerns to Bajaj Allianz, but did not receive a response, prompting the decision to halt cashless services.