Non-Payment of Dues: Private Hospitals to Suspend Cashless Services

New Delhi, January 6-If the ongoing healthcare crisis and infant deaths on epidemic level wasn’t enough, the possibility of unavailability of cashless services in many private hospitals will only add to the woes of the common man who wants to avail healthcare facilities smoothly.

Many private hospitals might announce the suspension of cashless services under the Central Government Health Scheme (CGHS) and Ex-Servicemen Contributory Health Scheme (ECHS).

Most of the beneficiaries of the CGHS scheme are central government employees and pensioners which receive comprehensive medical care provides comprehensive medical care. The suspension of cashless services could hit around 35 lakh beneficiaries across 71 cities in the country.

According to Healthwire sources, the reason why hospitals are mulling over this step, which could further hit health services in an unprecedented way, is the non-payment of legitimate dues which the central government has not paid.

According to private hospital officials, the outstanding dues haven’t been paid since 2014. Due to this situation the day to day healthcare activities are taking a huge toll as private healthcare attends to 70 percent of OPD and 60 percent of IPD patients. Even the tertiary healthcare system might be adversely affected which enjoys 85% of services from private health stakeholders.

Apart from that, the hospitals have also complained that while their expenses, determined by rising inflation, kept on increasing every year since 2014, the government has not paid attention towards revising the rates of reimbursement for a lot of medical procedures falling under CGHS since that year.

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