BIS Unveils New Hospital Billing Standard to Curb Hidden Costs
BIS Launches Standardised Hospital Billing System

The Bureau of Indian Standards (BIS) has taken a significant step towards bringing clarity and fairness to healthcare expenses by launching a new standard for hospital billing. This move is designed to tackle the long-standing issue of hidden costs and confusing charges that often burden patients.

What is the New BIS Standard IS 18000?

The newly introduced standard, known as IS 18000 or 'Hospital Bills — Presentation of Bill and Disclosure of Charges — Guidelines', provides a comprehensive framework for how hospitals should present their bills to patients. The primary goal is to ensure that every charge is clearly itemised and explained, leaving no room for unexpected fees or ambiguous line items.

The standard was officially unveiled by Shri Pramod Kumar Tiwari, Director General of BIS, during an event in Bengaluru. The development of this guideline was a collaborative effort, involving key stakeholders from the healthcare sector, including the Association of Healthcare Providers of India (AHPI) and the Quality Council of India (QCI).

Key Features and Mandatory Disclosures

The IS 18000 standard mandates several critical disclosures that hospitals must include in their final bills. This is aimed at empowering patients with complete information before they make payments.

Hospitals will now be required to clearly list:

  • A detailed breakdown of all charges for room rent, procedures, diagnostics, and medicines.
  • Separate categorisation of charges for implants and consumables.
  • Clear mention of packaged rates for specific treatments or procedures, if applicable.
  • Details of taxes applied, such as GST.
  • Information on any discounts provided and the final payable amount.

Furthermore, the standard emphasises that all charges must be communicated to the patient or their family before the treatment begins, especially in non-emergency situations. For emergency care, this information should be provided as soon as it is practically possible.

Impact on Patients and the Healthcare System

The implementation of this standard is expected to have a far-reaching positive impact. For patients, it means an end to bill shocks and the anxiety of receiving an invoice filled with unexplained costs. It promotes informed financial decision-making in healthcare, which is often a high-stress and high-cost area.

From a systemic perspective, the standard aims to build greater trust between healthcare providers and patients. By adopting these transparent practices, hospitals can demonstrate their commitment to ethical billing. The BIS has stated that while the standard is currently voluntary, it is a "precursor to a conformity assessment scheme" in the future, hinting at possible mandatory certification for hospitals.

The initiative aligns with the government's broader focus on making healthcare more affordable and transparent. Experts believe that standardised billing will also facilitate smoother interactions with health insurance companies, reducing disputes over claim settlements.

The launch event in Bengaluru highlighted the city's role as a major healthcare hub, making it a fitting location to introduce a reform intended for nationwide adoption. The BIS, as the national standards body, continues to develop standards that protect consumer interests and promote quality across industries, with healthcare being a critical focus area.