Hyderabad, Feb. 7 -- Hyderabad District Consumer Commission-III has held Care Hospitals guilty of deficiency in service for failing to refund insurance claim money despite assurances given to a patient.

The Commission directed the hospital to refund Rs 3.5 lakh with 12 percent interest, pay Rs 1 lakh as compensation, and Rs 10,000 towards litigation costs.

The case was filed by Muraleedhar Rao, aged 74, a resident of Himayatnagar, who was admitted to Care Hospital at Banjara Hills on March 1, 2025, for a minimally invasive cardiac surgery. Rao held a group mediclaim policy with New India Assurance Company and had applied for cashless insurance coverage.

According to the complaint, hospital staff informed him that health insurance appro...