Patients insured with the state owned insurance companies could now avail cashless medical facilities in 449 hospitals in the four metros. The facility was restored after hospitals agreed to charge them on a par with those not insured.

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State-owned insurers had to resort to rationalisation of rates for cashless facilities as they suffered a loss of R2,000 crore, primarily due to overbilling by hospitals, Minister of State for Finance Namo Narayan Meena said in the Rajya Sabha.
Insurance companies could face troubles and even insolvency if the hospitals continue to over charge, she said.
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