July 15 health card rollout ruled out

MAHESH AVADHUTHA I hyderabad

The much-awaited cashless health insurance scheme for Telangana government employees, teachers and pensioners has hit another hurdle, making its proposed July 15 rollout unlikely.

Though the government had indicated the scheme would begin by mid-July, major administrative and financial issues remain unresolved, particularly the finalisation of agreements with nearly 545 private and corporate hospitals expected to provide cashless treatment.

The issue was discussed at the government-appointed committee meeting on June 27, chaired by the then Chief Secretary K. Ramakrishna Rao, who had expressed confidence about a July 15 launch. Following his retirement on June 30, the responsibility has shifted to the new Chief Secretary Sanjay Jaju. Employee associations met Jaju on July 2, urging him to convene the committee at the earliest and complete the pending formalities.

The key challenge is negotiating treatment packages, reimbursement rates and the list of covered procedures with private hospitals. Officials are using package rates at Nizam's Institute of Medical Sciences (NIMS) as the benchmark. However, these rates are generally lower than those under the Central Government Health Scheme (CGHS), and hospitals are expected to seek higher reimbursements before joining the scheme.

The insurance programme is expected to cover around 1,885 medical procedures, with the final list likely to be finalised after consultations with hospitals.

Meanwhile, employees and pensioners have already begun contributing towards the scheme. Around Rs 44 crore each has been deducted from salaries and pensions in June and July, while the government is matching the contribution, creating a monthly premium corpus of nearly Rs 88 crore once the scheme is launched.

Joint Action Committee leaders said operational guidelines are expected shortly, followed by meetings with hospital managements before agreements are signed. Given the time required, officials believe the launch may be delayed by a few weeks.