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Private hospitals against Modicare rates, Say”too low” for quality care

Some major hospitals like Fortis, Apollo, Medanta and Narayana Health came against India Government’s much hailed ‘Ayushman Bharat’ project citing that the prices fixed for some critical procedures are not viable for them.

Senior Executives from these hospitals met Niti Aayog officials and the Health Ministry on Friday following representations by various industry forums. In a letter from Association of Healthcare Providers(India) to the CEO of Ayushman Bharat, Indu Bhushan, they argued that no scientific basis had been applied to arrive at the rates and that they would not be able to sustain themselves providing quality health care at those rates.

See also:Narendra Modi inaugurates India’s first health centre under Ayushman Bharat Scheme

Indu Bhushan representing the Government of India said that the rates were decided nationally and that they had also given states some flexibility to change the rates by up to 10%, moreover, she said there were incentives for private players up to 30%.

Niti Ayog Member Dr.V.K.Paul said that the primary aim of ‘Ayushman Bharat’ was to make quality health care available in Tier -II and Tier-III cities and that the private hospitals would gain by volumes, they could undertake cost reduction by removing the frills. But the Private hospitals did not agree to this.Dr.Devi Shetty, Chairman of Narayana Health opined that for quality health care one had to spend money and that the rates fixed under Ayushman Bharat were extremely low.


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