Health insurance is beleeding.

[Abhijit Chaudhary]

http://www.medimanage.com/health-insurance-experts-blog/post/2010/06/30/Why-is-the-Health-insurance-Sector-Bleeding.aspx#.UZSFcrWw2HU

Inline with what Chandra mentioned.

Are the Hospitals to blame?

K S Sankar feels “No regulation/standardization of the rates charged by health service providers or hospitals” is to be blamed for the losses.  Another reason he states is that the current system allows hospitalization in any hospital which fulfills a very basic definition of a hospital like having minimum number of beds, basic amenities available.

The solution he thinks by enlisting a restricted number of health service providers to whom the insured population will be given access. He also suggests that there be a reward and deterrent process where in you reward by having less or no co-pay in network hospitals (hospitals in which insurance company have a tie up) and deterrent by not offering  cashless in non network hospitals.

Health insurance companies can better negotiate with these hospitals now that larger volumes will flow in the hospitals. Insurance companies can also review the service of these hospitals to bring in fresh hospitals and delist those who fall short of the standards, he reasons.

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Linkedin - http://in.linkedin.com/pub/abhijit-chaudhary/0/66b/522

[rajaram]

Have sent a linked in invite to Sudhir Sarnobat who is also mentioned in the article saying we have a model for this. Lets see if he responds favourably. If so we might have a person who if convinced can help us with the insurance tie ups

[röh!t]

Insurance companies will never turn against hospitals even the standards fall. There is a big black hole that sucks in a lot of money. The nexus between hospitals and insurance companies is quite vast.

Regards,

Rohit Unnikrishnan