Insurance Regulatory and Development Authority of India (IRDAI) shared its concern over rising tariffs in hospitals and has planned to standardise charges for some medical procedures, as per a news report in The Economic Times (ET).
IRDAI member (non-life) T L Alamelu noted that rate of inflation of hospital charges at present is around 10-15 per cent and tariffs are being changed on a regular basis.
Ms Alamelu said "Hospitals keep on changing tariffs on a regular basis. There is no body to check that. The regulator does not allow insurance companies to raise premium every year though there is around 10-15 per cent inflation of hospital charges at present."
She said that there is a "mismatch.
"In this context, the General Insurance Council is in talks with the TPAs (third party administrators) to standardise charges for some procedures like cataract surgery and hysterectomy," she said.
IRDAI is endeavouring to regulate charges of medical procedures but added that it will take some time as it is a "tough challenge".
Alamelu stated that at the moment TPAs are being selected by the insurance companies. She said that the IRDAI plans to introduce a system in which people will have the liberty to choose their TPAs.
Alamelu added that IRDAI is considering setting up a health insurance forum for settlement of claims.
"All claims will be settled from this forum within a specific period of time," she said.
The insurance regulator is also planning to come out with a common health policy 'Arogya Sanjeevani' with standardised terms and conditions and every insurer has to offer this. Alamelu said there has been a good growth in the health insurance industry for the last ten years. She said "From Rs 3,342 crore in 2006-07, collection of health insurance premium has increased to Rs 44,873 crore in 2018- 19"