ICICI Lombard announces cashless OPD service for customers through Medpay

ICICI Lombard policyholders can now avail cashless OPD solutions at their neighborhood clinic, pharmacy or diagnostic center through Medpay’s Connected Care Network (Medpay CCN).

ICICI Lombard said that it will become the first insurance company in India to offer cashless OPD services to all its policyholders.

According to the press release, health inflation has increased from 3.8% in December 2019 to 8.4% in the recent past due to which people avoid visiting OPD centres. In India, about 62% of all health care costs are out-of-pocket. Often, while buying a health insurance policy, customers go for a lower sum insured as they do not worry about hospitalization and do not take into account the consultation charges and expenses associated with tests, X-rays, etc. Given the rising medical inflation, these expenses can significantly impact the savings routine of policyholders. In the last financial year, IRDAI’s annual report states that 40% of the total health claims are processed as reimbursement, which is costly and also time-consuming in the process.

The company said that the combined solution offers the benefit of OPD claims, which completely frees the customers from the cumbersome process of reimbursement and the cashless mode keeps their savings safe. Additionally, through this partnership, standalone pharmacies will also be part of the cashless insurance network for the first time.

Sanjay Dutta, Chief – Underwriting, Claims & Reinsurance, ICICI Lombard said, “Given rising medical inflation, consumers often incur exorbitant financial burden as a result of paying out of pocket and waiting for reimbursement. Today’s consumers are conscious and hence they are looking for all round and one-stop solution for their short term as well as long term needs. This unique OPD solution has been designed keeping in mind the evolving needs of a changing customer base who are more financially conscious and are expecting more comprehensive coverage from their health insurance policies. The ease with which this cashless OPD product can be accessed by consumers is unparalleled and bridges a significant gap in the customer experience journey.”

Ravi Chandra, Co-Founder and CEO, Medpay said, “There is a huge need for OPD insurance in India. IRDAI is encouraging insurers to cover OPDs and most of the insurers are experimenting with different types of OPD insurance products. We are a disruptor in this space by empowering insurers by providing them access to a large hyperlocal OPD network with cashless claims facility. Thus, enabling even stand-alone clinics, pharmacies and labs with the ability to accept insurance payments seamlessly.”