Private hospitals in Jammu and Kashmir suspend free treatment under SEHAT Scheme

Srinagar, Mar 15: The J&K Private Hospitals and Dialysis Centres Association announced today that they will suspend services under the free health insurance scheme beginning March 15, following the State Health Agency's decision to reduce package rates.

According to the association's spokesperson, the 10% reduction in package rates for medical procedures has created an unsustainable situation for private healthcare providers across the region.

"This move not only makes it challenging for us to continue providing services but also goes against the Prime Minister's vision of universal health insurance, which aims to provide comprehensive healthcare coverage to all residents of Jammu and Kashmir," said the spokesperson.

The association cited multiple grievances, including the reservation of four surgical procedures—appendectomy, cholecystectomy, hemorrhoidectomy, and fissure in ano—exclusively for public hospitals, which they claim further restricts the range of services private facilities can offer.

"Despite our commitment to serving the community, the reduced rates make it unsustainable for us to continue operations," the spokesperson added. "The scheme is very beneficial for the public but unfortunately due to these decisions by SHA, the quality of medical services will be compromised."

Financial concerns also feature prominently in the association's decision. According to their statement, payments remain pending with the government, despite assurances from the Chief Secretary that all previous payments would be cleared by the end of December 2024.

The association warned of broader economic implications, stating that 135 private hospitals employ about 10,000 youth across Jammu and Kashmir. "By this decision, the private hospitals will be forced to relieve employees, thus creating more unemployed youth," the spokesperson cautioned.

The suspension of services under the Ayushman Bharat/SEHAT Scheme will take effect immediately on March 15, potentially affecting thousands of beneficiaries who rely on private facilities for their healthcare needs.

The association has called on the public to support their appeal to the government to reconsider the decision. "We urge the public to support private hospitals in their appeal to the government to reconsider this decision," the spokesperson concluded.

The State Health Agency had just announced the implementation of these changes in Health Benefit Packages (HBP) 2.2 through an order issued on March 9, 2025, which was set to take effect on March 15, the same day private hospitals now plan to halt services