Lok Sabha Question No. 1025 (UNSTARRED), answered on 2019-02-08
Subject: Unethical Practices by Private Hospitals
Ministry: HEALTH AND FAMILY WELFARE
Asked by: VINAYAK BHAURAO RAUT, SHRIKANT EKNATH SHINDE, DHARMENDRA YADAV, RAJAN BABURAO  VICHARE, PRITAM GOPINATH MUNDE, Shrirang Appa Barne

## GOVERNMENT OF INDIA MINISTRY OF HEALTH AND FAMILY WELFARE DEPARTMENT OF HEALTH AND FAMILY WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 1025 TO BE ANSWERED ON 08 TH FEBRUARY, 2019

## UNETHICAL PRACTICES BY PRIVATE HOSPITALS

## 1025. SHRI VINAYAK BHAURAO RAUT:

DR. SHRIKANT EKNATH SHINDE:

SHRI DHARMENDRA YADAV:

SHRI RAJAN VICHARE:

DR. PRITAM GOPINATH MUNDE:

SHRI SHRIRANG APPA BARNE:

Will the Minister of HEALTH AND FAMILY WELFARE be pleased to state:

- (a) whether several patients and health groups have criticized excessive and unethical pricing by private hospitals and stressed need for regulation of healthcare charges, if so, the details thereof;
- (b) whether as per the National Pharmaceutical Pricing Authority (NPPA) about 25 per cent of a hospital bill is the cost of non - scheduled  formulations,  or those medicines that are not under price controls, if so, the details thereof;
- (c)  whether  NPPA  has  recommended a  policy  intervention  to  address  the unethical  practices carried out by private hospitals, if so, the de tails thereof;
- (d)  the  initiative  taken  by  the  Union Government  to  frame  policy  to  address  the unethical practices carried out by private hospitals; and
- (e) the time by which the policy is likely to be framed and implemented?

## ANSWER THE MINISTER OF STATE IN THE MINISTRY OF HEALTH AND FAMILY WELFARE

(SHRI ASHWINI KUMAR CHOUBEY)

- (a) : The Government is aware of the reports appearing at different fora about some s cases of overcharging by the private healthcare establishments. 'Health' being a State subject, the reports, as received by the Ministry of Health & Family Welfare, Government of Indi referred to the concerned State Governments for appropriate action.
- (b) : The National Pharmaceutical Pricing Authority (NPPA) has examine d the billing data of hospitals and noticed that there is substantial gap between the procurement prices of d amounts at which the drugs are billed to the patients. It was also observed that the tot scheduled medicines (specified under Na tional List of Essential Medicines (NLEM) and brought under  price  control)  used  in  the  treatment  is  only  4.10%  as  compared  to  25.67%  on -scheduled formulations.

(c) : No.

(d)& (e): As  per  the  constitutional  provision,  'Health'  is  a  State  subject. Therefore, State/UT  Governments  may  frame  policy  to  address  the  unethical  practices  carried  out private  hospitals under  the  appropriate  statutory  provisions  applicable  in  the  respect State/UT.

The Government of India has enacted Clinical Establishments (Registration and Regulation)  Act,  2010 for  registration  and  regulation  of  all  clinical  establishments  ( Government  and  Private)  in  the  Country.    In  accordance  with  the  Clinical  Establishme (Central Government) Rules, 2012 framed unde r the aforementioned Act, in the States/Union Territories where the said Act is in force, the clinical establishments are required to norms  such  as  minimum  standards  of  facilities  and  services,  minimum  requirement  o personnel, maintenance of reco rds and reports, and displaying of rates at a conspicuous plac The clinical establishments are also required to follow Standard Treatment Guidelines iss the Central/State Governments and charge rates for each type of procedure and service w th e range of rates determined from time to time in consultation with the State Governments

Currently, the Clinical Establishments Act, 2010 has been adopted by and applicabl 11 States namely Sikkim, Mizoram, Arunachal Pradesh, Himachal Pra desh, Uttar Pradesh, Bihar, Jharkhand, Rajasthan Uttarakhand, Assam and Haryana and all Union Territories except Del Other States may adopt the Act under clause (1) of Article 252 of the Constitution.