The Bureau of Indian Standards (BIS) is leading an effort to standardize hospital billing, aiming to enhance transparency in pricing methods. This initiative aims to benefit patients, health insurers, and government entities by streamlining billing practices across private hospitals and clinical facilities.
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NEW DELHI: The Bureau of Indian Standards (BIS), as a component of India’s National Standards Body, has initiated a project to standardize and improve transparency in hospital billing. This endeavor seeks to aid patients, health insurers, and government entities by tackling the varied pricing methods used by private hospitals and clinical facilities.
Following the Supreme Court’s reprimand of the government over its failure to implement a uniform pricing structure for medical services, BIS has initiated extensive consultations with industry associations and other stakeholders. This engagement aims to gather diverse perspectives on potential regulatory improvements in hospital billing procedures.
A significant meeting is scheduled for May 15.
“A meeting has been scheduled for May 15 to address the issue. We have requested input from public representative bodies and think tanks regarding potential regulatory changes in hospital billing,”
-shared an official familiar with the discussions.
They added-
“We are currently in the process of seeking recommendations, and decisions will follow.”
The need for more transparent billing procedures has become increasingly apparent, particularly after the discrepancies noted during the COVID-19 pandemic, where patients were often confronted with bills that included unclear charges for various items or services.
“Even physicians experience public backlash due to billing complexities. Therefore, there is a demand for a more straightforward hospital billing system. Such a system would be advantageous for both the public and hospital management.”
-another informed official stated.
Dr. Girdhar Gyani, director general of the Association of Healthcare Providers (India), also commented on the proposal for a standardized billing format.
“When it comes to establishing a billing format or template, it’s a positive move as long as it’s developed in collaboration with key stakeholders.”
-Dr. Gyani remarked.
He further explained-
“Of course, such a template would need to be comprehensive to account for all potential variables. However, it will undoubtedly promote uniformity, enhance clarity, and most importantly, ensure transparency.”
Despite these initiatives, the Supreme Court and the Union Health and Family Welfare Ministry acknowledge the challenges of imposing a uniform pricing template across all hospitals. The ministry recently admitted to the court that it is not feasible to mandate uniform charges for the same procedures nationwide. This acknowledgment came after the apex court had directed the ministry to engage with all state health departments to address the significant discrepancies in medical treatment costs between government and private facilities.
Harish Salve, senior advocate representing NatHealth-Healthcare Federation of India, emphasized that pricing should not be determined by the judiciary but is the responsibility of the legislature.
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“It’s not feasible to fix prices for medical services uniformly across all hospitals nationwide. A one-size-fits-all approach is impractical.”
-Salve explained.
He highlighted the disparities between government and private hospitals, stating-
“There’s no equivalency between government hospitals, which receive subsidies, and private hospitals, which do not benefit from such subsidies. Unlike other service industries in India, medical services cannot be price-capped due to their unique nature.”
