Nepal’s leading public health institution, Tribhuvan University Teaching Hospital, has decided to withdraw from the government’s health insurance program. The hospital administration announced that, starting Magh 1, all treatment services under the Nepal Health Insurance scheme will be discontinued.
The hospital stated that while it has been spending over NPR 50 million per month, only 50% of insurance claims have been approved by the Health Insurance Board. To date, the hospital claims it is still owed nearly NPR 400 million in pending insurance reimbursements.
Additionally, the hospital highlighted a significant gap between its treatment rates and the reimbursement rates offered by the insurance board. Despite repeated appeals over the past two years, the board has not addressed the issue. The hospital has been covering daily expenses from its own internal funds and has stated that it can no longer bear further losses.