TSHA Suspends Cashless Treatment for Care Health Insurance Patients in Telangana

The Telangana Specialty Hospitals Association (TSHA) in Hyderabad suspended cashless treatment services for Care Health Insurance policyholders on Monday, July 27, 2026. The association cited ongoing claim settlement disputes and poor communication from the insurance company for the decision.

Under the immediate halt in services, affected policyholders receiving care at TSHA member hospitals across Telangana must pay all medical expenses cash upfront. Patients will then need to file directly for reimbursement from Care Health Insurance under their policy terms.

In an official statement, TSHA outlined several persistent issues that led to the suspension. The association alleged arbitrary claim deductions, unjust repudiations, delays in settlements, unilateral de-empanelments, and a lack of responsive communication from the insurer.

The requirement to cover medical bills directly is expected to create financial strain for families requiring high-cost procedures. However, TSHA stated that it remains open to institutional dialogue and talks if Care Health Insurance takes meaningful corrective measures to address the claims management and provider relationship issues.