A. A cashless claim covers the expenses of a policyholder who is hospitalised in a facility that is part of the insurer’s network. The insurance company pays the policyholder’s bills directly to the hospital. In the case of reimbursement, which usually happens if the policyholder is admitted in a hospital that’s not part of the insurance company’s network, the policyholder first has to pay the bills and then submit the documents to the insurance company, which will reimburse the amount.