Summary of this article
From Sept 22, 2025, Star Health policyholders may lose cashless treatment as AHPI warns hospitals over outdated tariffs and claim rejections.
Without cashless service, patients must pay hospital bills upfront and seek reimbursement, a stressful and time-consuming process.
Policyholders should check network hospitals, keep documents ready, and consider switching insurers offering reliable cashless services and faster claims.
If you have health insurance from Star Health Insurance, you may soon face a problem. The Association of Healthcare Providers – India (AHPI) has warned that hospitals might stop offering cashless treatment to Star Health policyholders from September 22, 2025, according to media reports. There was a similar problem with the insurer Niva Bupa, which was later fixed.
What’s Going On
Hospitals are upset with Star Health because the insurer hasn’t been updating the rates it pays for treatment, even though medical costs have gone up a lot over the years. They also say Star Health is rejecting valid claims or making unfair deductions from hospital bills. AHPI says that unless the insurer changes these practices, hospitals may stop giving cashless service to their customers.
Why It Matters to You
Cashless service is one of the main reasons people buy health insurance. It means you don’t have to pay big hospital bills out of your pocket during an emergency — the insurer pays directly to the hospital. If cashless service stops, you have to pay the bill yourself and then submit documents to get it reimbursed.
1 September 2025
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Not only does this mean that you need funds, but the reimbursement process may also be time-consuming. It can take weeks, leaving you stressed and your savings exposed. That defeats the purpose of health insurance in the first place.
What Should You Do
Check Your Network Hospitals
Call your insurer’s customer care or visit their website to see if your regular hospital is still in the cashless network. Don’t assume it will remain the same.
Keep All Medical Documents In Place
From prescriptions and test reports and discharge summaries, and bills, keep everything in one place. You’ll need them if you have to claim reimbursement later.
Consider Your Options
If your insurer is not cooperating, think about switching. There are many health insurance plans in the market that offer good cashless services and faster claim settlement.
This issue shows a growing problem in the health insurance industry. Insurers like Star Health and Niva Bupa should fix their practices, but in the meantime, policyholders should be prepared. Know your network hospitals, keep your documents ready, and don’t wait for trouble to hit. A little preparation now can save you from big financial headaches later.
