HC proposes GIC to introduce insurance pkg rates for diseases

The Bombay High Court today suggested the General Insurance Council (GIC) to come up with pre-declared insurance package rates for different ailments.
The suggestion came from a division bench of Chief Justice Mohit Shah and Justice M S Sanklecha during the hearing a public interest litigation filed by activist Gaurang Damani on hardships faced by people while claiming medical insurance.
The court said that the GIC, which represents 25 non-life insurance companies, would have a better idea of how much each medical procedure costs and hence would be in a better position to decide on package rates.
"You (GIC) have details of how much a bypass or a cataract operation costs. You have all the data. All you have to do is form an average and come up with a bracket rate," chief justice Shah said.

The GIC had, however, in an affidavit filed earlier this month said it would not be in a position to predeclare package rates in the policy document. It stated that there is need for a health regulator and it is the responsibility of the union government to introduce a comprehensive legislation to regulate the healthcare industry.
GIC counsel Janak Dwarkadas told the court that on its own the GIC would not be able to come up with package rates but can look into the issue if the petitioner submits his proposal.
The court directed the petitioner Damani to hold a meeting with the GIC members and discuss the issue and posted the petition for hearing after two weeks.