IRDAI warns against cash deposits

The Indian insurance regulator, the Insurance Regulatory and Development Authority has confirmed instances of some hospitals charging differential rates and insisting on cash deposits from the policyholders for providing treatment for COVID-19 despite having cashless arrangement with their insurers.

“Charging differential rates to policyholders, demanding advance deposits and denying cashless treatment to policyholders of health insurance policies is not only detrimental to the interest of policyholders but may also violative of the service level agreement between the service provider hospitals and the insurance companies,” read a press statement.

Network provider hospitals have been requested to rise to the occasion and to provide cashless treatment to policyholders for all treatments covered by the insurance policy including COVID-19 as per the terms of service level agreements. All hospitals have also been requested not to differentiate the patients in terms of admission or treatment whether they are insured or not insured or whether they pay cash or avail of cashless facility.