Kerala High Court: Rationalize charges by private hospitals for Covid treatment

Kriti Agrawal

The Kerala High Court took the issue of the exorbitant charges imposed by private hospitals for treating covid-19 patients, claiming that the hospitals are robbing common people by charging exorbitant rates for care and facilities.

A Bench of Justice Devan Ramachandran and Justice Kauser Edappagth noted that PPE kits cost Rs. 22,000 and that Kanji (rice porridge) costs Rs. 1,300.

The Bench said, “We discovered unethical billings, including Rs 22,000 for PPE kits. Examine the bills. We discovered that our humble Kanji is being paid Rs. 1300. Our Humble Kanji. Dolo is priced between Rs. 30 and Rs. 40.”

The Court stated that it would interfere due to the plight of ordinary people and the rapid increase in infections.

The remarks were made in response to the private hospitals’ opposition to a government decision to limit the cost of covid-19 care at private hospitals.

The Court was hearing a motion concerning the pricing of medical care in private hospitals in the midst of the covid-19 pandemic.

When the case was being heard, State counsel informed the Court that a Government Order (GO) had been released in this regard.

He also mentioned that costs for expensive medications such as Remdesivir would be separate, while the RT-PCR test fee will remain at Rs. 500, as previously set by the government.

It was also said that, in the event of overcharging, a penalty of ten times the rate would be levied.

The lawyer representing private hospitals, on the other hand, was opposed to the same. He detailed the costs incurred by hospitals, saying that while they do not want to charge exorbitant rates during a pandemic, they are also constrained.

The Bench, on the other hand, stated that it appreciated the government’s position.

The Indian Medical Association argued that the Court should make a distinction between the vulnerable and those who can afford covid-19 care.

The Court stated it unequivocally, “There is no rich and poor in a pandemic case. During a pandemic, we do not allow cross-subsidization.”

Lastly the Court also explained that the government’s price limit would only apply prospectively.

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