15,200 Hospitals Suspend Cashless Treatment For Bajaj Allianz Policyholders. Know Why?
15,200 Hospitals Suspend Cashless Treatment For Bajaj Allianz Policyholders. Know Why?
New Delhi, August 25, 2025: Starting September 1, 2025, over 15,200 hospitals, including major chains like Max Healthcare and Medanta, will withdraw cashless treatment facilities for Bajaj Allianz Health Insurance policyholders. The move follows a long-standing dispute over outdated reimbursement rates, delayed claim settlements, and unilateral deductions by the insurer.
According to the Association of Healthcare Providers of India (AHPI), reimbursement rates offered by Bajaj Allianz have not been revised for years, despite 7–8% annual medical inflation. Hospitals claim rising costs of medicines, equipment, and staff salaries have made operations unsustainable under existing tariffs.
Dr. Girdhar Gyani, Director General of AHPI, said, “Continuing at outdated rates, let alone lowering them, is unsustainable and risks compromising patient care—something AHPI and its members will not accept.”
Key Issues Raised by Hospitals
- Outdated Reimbursement Rates: Hospitals allege the insurer has refused to update rates, even as costs rise.
- Unilateral Deductions: Claims are reportedly being reduced arbitrarily, lowering payouts without adequate explanation.
- Delayed Payments & Approvals: Hospitals cite excessive delays in payments and pre-authorisation approvals, disrupting operations and patient discharge processes.
Impact on Policyholders
Patients with Bajaj Allianz policies will now have to pay upfront for surgeries, consultations, and hospital stays, and later seek reimbursement. This could force families to arrange large sums during medical emergencies, increasing financial stress.
Insurer’s Response
Bajaj Allianz expressed surprise at the decision. Bhaskar Nerurkar, Head – Health Administration Team, said, “We believe policyholders should receive the best possible hospitalisation experience with fair rates, seamless claims, and quality service. We are confident of working amicably with AHPI to find a solution in the best interests of our customers.”
What Policyholders Should Do
- Confirm hospital status before admission.
- Keep emergency funds ready as upfront payments may be required.
- Collect all bills and documents for smooth reimbursement claims.
- File claims promptly and track them via Bajaj Allianz’s online portal.
- Stay updated as cashless services may resume once new tariffs are agreed upon.
Until negotiations succeed, Bajaj Allianz policyholders must brace for a cash-driven process at hospitals, potentially complicating emergency care.
