Sun Nov 03 13:46:08 UTC 2024: ## Kerala Government to Revamp Medical Insurance Scheme for Employees and Pensioners

**Thiruvananthapuram, November 3, 2024** – The Kerala government has announced plans to overhaul the Medical Insurance Scheme for State Employees and Pensioners (MEDISEP), citing widespread criticism of its current structure. The scheme, launched in July 2022, has been criticized for its lack of standard treatment packages and impractical package rates, leading to difficulties in implementation.

A new six-member expert committee, headed by Sriram Venkitaraman, has been formed to address these shortcomings. The committee will be responsible for developing a comprehensive set of standard packages and rates for medical and surgical procedures, ensuring greater transparency and efficiency in the scheme.

The revised MEDISEP is expected to come into effect from July 1, 2025. The new package rates will be determined in consultation with service and pensioner organizations.

The government acknowledged that the current scheme has faced significant challenges, including the reluctance of major hospitals to participate due to the impractical package rates. This has led to legal disputes and hampered the scheme’s effectiveness.

MEDISEP, which currently covers over 5.45 lakh employees and 5.89 lakh pensioners, has disbursed over ₹1494 crore for 7.57 lakh claims since its inception. Despite the challenges, the government remains committed to providing comprehensive healthcare coverage to its employees and pensioners.

The overhaul of MEDISEP is expected to address the existing issues and ensure a more efficient and effective healthcare scheme for its beneficiaries.

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