Time of death to decide hospital bills: AAP govt

“The draft has been released for public consultation, after which it will have to be approved by the Delhi Cabinet and the L-G for it to become enforceable,” said Dr Kirti Bhushan, Delhi director general of health services.

A Haryana government panel probing the death of a seven-yearold girl from dengue related complications at Fortis Memorial Research Institute in September had in January recommended reducing profit margins at corporate hospitals.

The panel said profit margins on drugs and consumables ranged from 5% to as high as 1737%. The bill could have come down to one-third of the amount charged if a comprehensive package had been offered by the hospital, the panel had said.

Several hospitals and health care experts described the measures as “harsh” and said they may adversely impact patient care.

“The advisory is quite harsh from the perspective of private health care services providers based in NCT Delhi. We are in the process of studying the document in detail and will be engaging with the government in a constructive manner. We completely understand the need for transparency and fair and reasonable profits. The reality, however, is quite different. Most private players are making losses or single digit returns which don’t even cover the cost of capital. Some of the recommendations may also adversely impact patient care and quality,” said Max Healthcare authorities in a statement.

“Regulating prices in this way may push health care providers against the wall and lead to deteriorating quality of services. For example, in the case of a hernia, the chances for complications are little, 96% would not need any care, but what of the 4% who might need ICU care for prolonged periods?” said Dr MC Misra, former director of the All India Institute of Medical Sciences (AIIMS).

“You cannot expect five-star services and not want to pay for it; who will pay for the huge infrastructure that the hospitals have to maintain? Rather, the treatment cost can be controlled through insurance, which should be mandatory for all. Right now, there are so few people with health insurance that the ones with it are milked by the private hospitals,” Misra added.

“How can you formulate these packages when the government has not set any standard treatment guidelines? When it comes to procedures, it is not that simple. Would capping prices lead to patients being turned away or restrict their choices? And is the public sector prepared to deal with the increased patient load? The issue is very complex,” said Samit Chowdhury associate professor of Health Policy Research Unit, Institute of Economic Growth (IEG), but pointed out that consumers will benefit from the cap on drug prices.

Insurance companies, however, welcomed the move.

“As the cost of health care goes up, so do i nsurance premiums, making them unaffordable.

There are no regulation of costs for health care providers now. The draft regulations will ensure that the patients are charged reasonable rates and this will benefit all stakeholders,” said G Srinivasan, chairman and managing director of New India Assurance.