Drop Hospitals From Insurance List If They Press Patients to Pay in Advance

Published: 08th September 2014 06:00 AM  |   Last Updated: 08th September 2014 02:22 AM   |  A+A-


CHENNAI: The Madras High Court has indicted the State government for not removing the hospitals, which demanded advance payment for admission of patients and directed the patients to claim the amount from the medical insurance company, from its hospitals network.

A division bench of this court had on an earlier occasion directed the State government to inform every network hospital that if any complaint from claimants regarding demand of money for admission was received, the hospital concerned will be removed from the network. In spite of such a direction, the hospitals were demanding advance payment and the government had not taken any action against them, Justice N Paul Vasanthakumar observed.

The judge was passing orders on two writ petitions praying for a direction to the United India Insurance Company to reimburse the amount spent for treatment. In the first case, a staff of the High Court had admitted his six year old son for treatment. The hospital insisted him to pay the entire amount in advance and he paid `2.98 lakh. However, his son died.

In the second case, Jalaja admitted her husband in a hospital for treatment and she had to part with `2.50 lakh in advance.

When both made the claims, the United Indian Insurance Company refused reimbursement on the ground that the scheme itself was a cashless model, which meant that no reimbursement was permissible and the company would pay the claim to the hospital.

The judge said the petitioners were covered under the TN Medial Health Fund Scheme, which was subsequently modified under NHIS. The modification of the scheme could not be put against the petitioners. They were entitled to claim medical reimbursement, the judge said and told the company to reimburse the amount.

Stay up to date on all the latest Tamil Nadu news with The New Indian Express App. Download now


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp