The Ahmedabad Hospitals and Nursing Homes Association (AHNA) has taken legal action against Tata AIG General Insurance Co, accusing the insurer of arbitrarily excluding 81 hospitals from its network without justification or opportunity for defense. The AHNA issued a legal notice on Sunday, criticizing Tata AIG for publishing the list of excluded hospitals on their website and declaring a boycott of the insurer.
Effective from July 15, AHNA has announced that policy-holders of Tata AIG will no longer have access to cashless or reimbursement facilities unless the insurance company reverses its decision to exclude these hospitals.
Dr. Bharat Gadhavi, president of AHNA, expressed frustration over the lack of response from Tata AIG despite attempts by the association and hospital representatives to seek clarification. He emphasized that the insurer’s actions were replicated by other private insurance companies, adversely affecting patient care and hospital operations.
Dr. Viren Shah, vice-president of AHNA, criticized Tata AIG’s move as contrary to the principles of natural justice, highlighting concerns raised by patients and member hospitals regarding restrictive policies imposed by insurers.
In addition to the legal notice, AHNA announced its intention to pursue legal action against insurers imposing arbitrary restrictions, such as advising patients against seeking treatment in hospitals with fewer than 15 beds.
The AHNA’s stance underscores a growing dispute between healthcare providers and insurers over network exclusions, signaling potential repercussions for healthcare access and insurance policyholders in Ahmedabad.
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