Chennai: Come April 2003, the employees of four government-owned general insurers have to budget for nearly 100 per cent hike in their health insurance scheme. Adverse claims ratio is the reason stated for the hike.

The four companies take out a group mediclaim insurance policy covering their employees and dependents with each other. Through an employee welfare scheme, the monthly premium is shared by the employees and the respective companies.

Another interesting development is that, like the general public who take out mediclaim policies, the employees too have to go through third party administrators (TPA) to get their claim settled.

Per se all the employee unions are opposed to the concept of TPAs as it increase the insurance cost by 6 per cent, thus making many jobs redundant. It is nothing but rubbing salt on the wound by making them subject to TPA scheme, the feel.