Telangana Aarogyasri Health Card Services to Stop from August 31 Over Unpaid Bills
Telangana's 470+ private hospitals to suspend Aarogyasri health card services from August 31 over ₹1,000 crore unpaid government dues. TANHA demands immediate payment

Hyderabad: Private hospitals across Telangana are fed up. They’re shutting down Aarogyasri health care services from August 31 midnight because the state government owes them a massive ₹1,000+ crore. That’s right – over a thousand crore rupees in unpaid bills.
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The Telangana Aarogyasri Network Hospitals Association (TANHA) isn’t bluffing this time. They’ve given the government just 10 days to pay up, or 471 private hospitals will stop treating Aarogyasri patients altogether.
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Dr. Vaddiraju Rakesh, who heads TANHA, says they’ve had enough. “We can’t keep running hospitals on empty promises,” he told reporters after sending a notice to Aarogyasri CEO Udaykumar.
The Money Problem
Here’s the thing – these hospitals have been treating patients for nearly a year without getting paid by the government. Imagine running your business for 12 months and your biggest customer just doesn’t pay their bills. That’s exactly what’s happening here.
The unpaid dues aren’t just for regular Aarogyasri treatments. The government also owes money for:
- Employee Health Scheme (EHS) – healthcare for government workers
- Journalist Health Scheme (JHS) – medical coverage for media people
- Regular Aarogyasri treatments – the main health program
Hospital owners say they’re struggling to pay salaries, buy medicines, and maintain equipment because the government keeps delaying payments.
Broken Promises from January
This isn’t the first time hospitals have revolted. Back in January, they went on a 10-day strike over the same issues. The government quickly released ₹117 crore and made big promises:
- We’ll revise the payment packages
- We’ll pay dues regularly from now on
- We’ll renew contracts properly
- We’ll set up a proper complaint system
Guess what? Most of these promises were forgotten within months. The dues kept piling up, and hospitals kept waiting for their money.
Who Gets Hurt the Most
If this shutdown happens, millions of ordinary people will suffer. We’re talking about:
Poor families who depend entirely on Aarogyasri cards for medical treatment. These are people who can’t afford private healthcare without the government scheme.
Emergency patients who might need urgent surgery or treatment. Private hospitals handle many complex cases that government hospitals can’t manage.
Rural communities where empaneled private hospitals are often the only option for quality healthcare nearby.
Chronic patients undergoing long-term treatments like dialysis, cancer therapy, or heart procedures.
The Numbers Don’t Lie
Let’s break down what we’re looking at:
- 471 private hospitals ready to shut Aarogyasri services
- ₹1,000+ crore in pending government payments
- Millions of cardholders who could lose access to private healthcare
- Nearly 12 months of delayed payments causing this crisis
What Patients Should Do Right Now
If you have an Aarogyasri card, here’s some practical advice:
Get urgent treatments done immediately – Don’t wait until August 31. If you need surgery or important medical procedures, get them done in the next few days.
Find backup options – Locate the nearest government hospital that can handle your medical needs. Government facilities will continue Aarogyasri services.
Keep documents ready – Make sure your health records are organized in case you need to switch hospitals quickly.
Stay informed – Follow news updates closely. The situation might change if the government acts fast.
Government’s Silence is Worrying
So far, the Telangana government hasn’t said much about this crisis. Health Minister C. Damodar Raja Narsimha and Chief Minister Revanth Reddy haven’t made any public statements about how they plan to resolve this mess.
TANHA leaders are desperately trying to get meetings with top officials, but there’s no sign of urgency from the government side. This silence is making hospital associations more determined to go ahead with their shutdown plan.
Why This Matters Beyond Healthcare
This crisis shows bigger problems with how the government manages public health programs. When healthcare providers can’t trust the government to pay bills on time, it affects the entire medical ecosystem.
Other states are watching this situation closely. If Telangana can’t resolve this mess, it might encourage similar protests in other parts of India where government health schemes face payment delays.
The Clock is Ticking
With just days left before the August 31 deadline, everyone’s waiting to see who blinks first. Will the government find the money to clear dues and save face? Or will hospitals follow through with their threat, leaving millions without private healthcare access?
One thing is certain – this standoff will test both the government’s commitment to public health and the hospitals’ resolve to demand fair treatment. The real losers, unfortunately, will be ordinary patients caught in the middle of this financial tug-of-war.