BMC mulls capping prices at private hospitals after claims of overcharging

The Brihanmumbai Municipal Corporation (BMC) held a meeting with the representatives of private hospitals recently to discuss capping the price of treating Covid-19.

The Brihanmumbai Municipal Corporation (BMC) held a meeting with the representatives of private hospitals recently to discuss capping the price of treating Covid-19. There have been multiple complaints from patients’ families regarding the exorbitant fees charged by private hospitals.

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On March 18, when the BMC permitted private hospitals to treat Covid-19 patients, all private hospitals were directed to charge ₹4,000 or 50% of the total bill for a bed. However, the instruction did not mention or specify cost of medicines, personal protective equipment (PPE), ventilators, staff services and other details.

“We have learnt that hospitals are charging exorbitant amounts from patients. The amount has gone up to ₹1 lakh per day, which is not feasible. We have got the bills and found several loopholes. We called for a meeting with the CEOs to discuss the issue,” said Suresh Kakani, additional municipal commissioner, BMC.

On May 1, HT had reported that bills from private hospitals like Nanavati Super Speciality Hospital showed discrepancies and overcharging.

Following the report, a reader sent a soft copy of his father’s hospital bill. His father, who succumbed to the infection, had been in Nanavati Super Specialty Hospital’s intensive care unit for 15 days. The family was charged ₹16 lakh.

Patients have complained that private hospitals are also inflating charges for treatments not related to Covid-19. A 60-year-old dialysis patient, who is not Covid-positive, was asked to deposit ₹1 lakh in order to be admitted to Nanavati Hospital.

When asked to comment on the allegations of overcharging, chief operating officer of Nanavati Hospital, Manpreet Sohal said, “Whenever any patient raises questions about billing, we always address their concerns.”

At the meeting on Tuesday, the BMC discussed capping the price of treatments under the Epidemic Diseases Act. “We have sought their suggestions on the fixed charges they want to impose for the treatment. Once, we get it, we will impose the cap and if anyone is found in violation of it, action will be initiated,” said Kakani.

Dr PM Bhujang, president of Association of Hospitals, said, “We are yet to come to a conclusion as we are still discussing it amongst our hospitals.”

Cap on treatment costs for those without insurance

On May 1, the state government capped treatment costs at private hospitals for patients without medical insurance. For others, capped prices will come into effect after they exhaust their insurance cover.

In the circular, principal secretary Dr Pradeep Vyas stated hospitals should charge the lowest rates for procedures as per their pacts with insurance companies. Hospitals without such tie-ups must adhere to capped rates.

The cost of an angiography has been capped at ₹12,000; angioplasty with one stent, at ₹1.20 lakh; dialysis at ₹2,500; and knee replacement at ₹1.60 lakh.

Dr Abhijit More, co-convenor of Jan Aarogya Abhiyan, approved of the BMC’s decision and suggested that the BMC should check with experts for the service prices of medical procedures and set caps accordingly.