The Association of Healthcare Providers of India (AHPI) and Star Health and Allied Insurance Company announced on September 21 that they have reached an understanding to reinstate cashless facilities at AHPI-affiliated hospitals starting October 10.
According to a joint statement, both organisations have also committed to settling outstanding matters, including tariff revisions, by October 31, 2025. The agreement follows weeks of negotiations, during which AHPI withdrew its earlier advisory that had urged hospitals to suspend cashless services from September 22.
To prevent such disruptions in the future, AHPI said it will spearhead the formation of an industry panel that will engage with insurers to frame a sector-wide arrangement focused on patient welfare.
Welcoming the resolution, AHPI Director General Dr. Girdhar Gyani said, “We are pleased that our discussions with Star Health Insurance have led to this positive outcome. Restoring cashless services will reduce stress for patients and their families, who deserve continuous access to care. AHPI is committed to working with all stakeholders to build a more patient-centric healthcare system.”
Echoing this sentiment, Star Health Insurance MD & CEO Anand Roy said, “At Star Health, our top priority is the well-being of our policyholders. We are glad to have resolved the issues through constructive dialogue with AHPI. The resumption of cashless services underscores our commitment to accessible, affordable, and seamless healthcare for our customers.”
The suspension of services earlier this month had created serious challenges for patients and hospitals alike. Several major healthcare institutions including Care Hospitals (Ramnagar, Vizag), Manipal Hospitals (Delhi and Gurugram), Max Hospitals (North India), Metro Hospital (Faridabad), Medanta Hospital (Lucknow), Rajiv Gandhi Cancer Hospital (New Delhi), Sarvodaya Hospital (Faridabad), and Yatharth Hospitals were among those affected. AHPI had described the suspension as “arbitrary” and detrimental to patient interests.
