In a significant development, the Association of Healthcare Providers of India (AHPI) has revoked its advisory to suspend cashless services for policyholders of Bajaj Allianz General Insurance and Care Health. The decision comes after a meeting between AHPI’s core committee members and senior representatives of Bajaj Allianz, where they addressed long-standing concerns raised by hospitals. The issues discussed included delays in empanelment of new hospitals, outdated reimbursement rates, unilateral deductions, disputes over advanced treatments, and questioning of clinical decisions.
The meeting resulted in a broad agreement on these issues, and Bajaj Allianz has agreed to submit formal actions to AHPI by September 29, 2025. This development comes as a relief to policyholders who were facing the threat of suspension of cashless services from September 1. AHPI, which represents 15,000 hospitals, had earlier advised its member hospitals in North India to suspend cashless treatment facilities for Bajaj Allianz and Care Health policyholders.
The dispute between AHPI and Bajaj Allianz had been ongoing, with AHPI considering approaching the Competition Commission of India (CCI) over the General Insurance Council’s decision to enforce tariffs for various treatments. However, the meeting between the two parties has helped to resolve their differences amicably. Tapan Singhel, Managing Director and CEO of Bajaj Allianz General Insurance, noted that episodes like this highlight the need for a strong health regulator to safeguard citizens’ interests and ensure transparency and fairness across the healthcare ecosystem.
The resolution of the dispute is a positive development for policyholders, who can now continue to avail cashless services at hospitals. It also underscores the importance of dialogue and negotiation in resolving disputes between healthcare providers and insurance companies. The agreement between AHPI and Bajaj Allianz is expected to have a positive impact on the healthcare ecosystem, ensuring that patients receive timely and quality treatment without facing financial difficulties. Overall, the revocation of the advisory is a welcome move, and it is hoped that it will lead to a more collaborative and patient-centric approach in the healthcare industry.