Govt likely to penalise insurance companies for delaying payment under NHPS

Press Trust of India  |  New Delhi 

The government has proposed to impose penalty on companies for delay in payment to hospitals for settlement of claims under its ambitious Ayushman Bharat National Health Protection Scheme (NHPS).

The company will pay the penalty directly to the hospital concerned, according to the model tender document that was released on Thursday, a said.

The model tender document also comprise a list of the procedures and their rates which would be covered under the scheme along with the ones which require pre-authorisation.

Twenty states and Union territories have so far signed MoUs with the for implementing the NHPS that aims to provide a cover of Rs 5 lakh per family annually to 10 crore vulnerable families.

Four states - Delhi, Odisha, and - have not yet given any positive response towards adopting the scheme, the said, adding that discussions with these states are on to bring them onboard.

is expected to roll out the scheme on August 15.

The initiative would eventually become the world's largest as has the second largest population globally and will change India's health landscape, J P Nadda had said.

The centrally-sponsored scheme will target poor, deprived rural families and identified occupational category of urban workers' families, 8.03 crore in rural and 2.33 crore in urban areas, as per the latest SECC data, and will cover around 50 crore people.

"The states will be allowed to implement the scheme through insurance companies or Trust/Society or a mixed model and will be an entitlement based scheme with entitlements decided on the basis of deprivation criteria in the SECC database.

The officials said the government has allocated Rs 10,000 crore for the scheme on initial estimation for the financial years 2018-19 and 2019-20.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Sat, June 16 2018. 11:25 IST