AHPI withdraws advisory to halt cashless services for Bajaj Allianz clients

Last week, AHPI had directed member hospitals to suspend cashless services for Bajaj Allianz policyholders from September 1, citing unresolved disputes over tariffs with hospitals

The Association of Healthcare Providers (India) (AHPI) has withdrawn its advisory asking member hospitals in north India to stop offering cashless treatment to Bajaj Allianz General Insurance policyholders, following a meeting with the insurer in Delhi on Thursday.

 

“After intense discussion, there was broad agreement on all the issues. Bajaj Allianz agreed to submit para-vice formal actions to AHPI by 29th September 2025,” AHPI said, as quoted by The Economic Times.

 

Tapan Singhel, managing director (MD) and chief executive officer (CEO) of Bajaj Allianz General Insurance, said: “We are pleased that the matter has been resolved in the interest of policyholders and citizens who must never face interruptions in their access to cashless healthcare. Cashless access is the backbone of health insurance and should never be compromised.”

 

He added that such episodes highlight the urgent need for a strong health regulator to safeguard citizens’ interests and ensure transparency and fairness across the healthcare ecosystem.

 

Background to the dispute

Last week, AHPI had directed member hospitals to suspend cashless services for Bajaj Allianz policyholders from September 1, citing disputes over tariffs and the delisting of hospitals. However, after the insurer accepted key demands — including initiating price negotiations with member hospitals and re-enlisting previously delisted facilities — AHPI agreed to revoke the advisory, Business Standard reported on Thursday.

 

“Our goal is to engage in constructive dialogue with insurers in the larger interest of patients. We urge all insurers to regularly revise tariffs, establish transparent grievance mechanisms, and respect clinical autonomy,” said Girdhar Gyani, director general of AHPI, after the meeting.

 

Industry response 

The meeting was attended by representatives of large hospital chains, including Medanta, Fortis, and Max. Earlier this week, industry body General Insurance Council (GIC) had also urged AHPI to withdraw its advisory, calling it “arbitrary” and disruptive to public trust in the health insurance ecosystem. Singhel, apart from leading Bajaj Allianz, also serves as chairman of GIC.