BJP MP Raghav Chadha says in Rajya Sabha, “I am speaking on referral incentive and cut money arrangement between a few doctors and some diagnostic centres. This has become an informal arrangement. Rs 3000 goes to the doctor, not to treat you but to refer you. There is a set commission rate, a dedicated agent and a parallel incentive economy. In sophisticated language, this is called doctor’s referral commission and diagnostic centres mention it as marketing expense in their accounts…The burden of this money is not borne by the diagnostic centre but by the patient. This sometimes increases the patient’s medical bill by 15-20%. A practice of unnecessary medical tests and over-referrals is beginning…Patients should be mindful of these red flags…”
Radhika Goyal is Author of Taxconcept Gurugram head office, for deeply reported tax, gst and income tax articles on issues that matter. He splits her time between New Delhi and Bengaluru, and has worked as a reporter, a podcaster and an editor for publications across India.