Press Information Bureau

Government of India

Ministry of Finance

26-March-2012 18:54 IST

928 Hospitals join the Preferred Provider Network (PPN) to provide cashless facility

With a view to provide quality health care at an affordable cost and at the same time help the insured to optimally utilize the Sum Insured under their Insurance Policies, the Preferred Provider Network (PPN) was an initiative launched by the four Public Sector General Insurance Companies (PSGICs) on 1st July, 2010. The objective of the initiative was rationalization of empanelment of hospitals and standardization of rates for specified procedures. Though many hospitals agreed to join the Network to provide cashless facility, there were others who initially had some reservations in joining the same. However, after negotiations all issues were sorted out.

The initial launch of PPN was in the four major cities of Delhi, Mumbai Chennai & Bangalore. The success achieved in these four cities encouraged the PSGICs to extend the initiative to Ahmedabad, Hyderabad, Chandigarh (including Jallandar, Ambala & Mohali) in May, 2011 and subsequently to Kolkata in January, 2012.

Presently, 928 hospitals have joined the PPN Network in the country viz: Delhi-188, Mumbai-165, Bangalore-122, Chennai-125, Ahemdabad-91, Hyderabad-87, Chandigarh (including Jallandar, Ambala and Mohali)-87 and Kolkata-63.

This information was given by the Minister of State for Finance, Shri Namo Narain Meena in written reply to a question in Lok Sabha.

DSM/SS/Hb

Preferred Provider Network expands empanelment to increase cashless hospital access and standardize procedure rates nationwide. An initiative by four Public Sector General Insurance Companies established the Preferred Provider Network to enable insured persons to access cashless hospital treatment and to promote optimal utilization of insured sums. The PPN's operative mechanisms focus on rationalizing hospital empanelment and standardizing rates for specified procedures to contain costs and create predictable billing terms between insurers and participating hospitals.