There are many who believe that cashless hospitalization facility available with medical insurance policies can be misused by hospitals and that it is better to pay cash and the reimburse it via the policy later. A discussion on should I use cashless hospitalization facility or pay and then reimburse?
What does misuse mean? Attempting to exhaust the sum insured limit without any need for it. Recommending more tests than necessary, an extended stay in an ICU, recommending an expensive room etc. Someone else may be paying the charges, but the hardship is on the patient and those who take care of them.