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Chennai: India’s insurance sector regulator has directed general and health insurance companies to take action against hospitals if they don’t provide cashless facility for Covid-19 claims.

In a circular the Insurance Regulatory and Development Authority of India (IRDAI) told the insurers to take appropriate action against hospitals denying cashless facility as per their agreement.

Cashless facility means direct settlement of hospital bills by the insurers.

The IRDAI said general and health Insurers shall ensure that all such network provider hospitals extend cashless facility for any treatment to the policyholder including Covid-19 treatment in accordance with agreed provisions of Service Level Agreement and terms and conditions of the policy contract.

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