Delhi-NCR hospital charges patient lakhs extra during treatment: Gurugram man wins Rs 12 lakh from Ghaziabad Yashoda Hospital and Niva Bupa; he was battling colon cancer

A Gurugram man being treated for colon cancer has won a consumer case against both his hospital and his health insurer after a consumer commission found that the hospital overbilled him, and the insurance company cancelled his policy in the middle of his treatment.

The District Consumer Disputes Redressal Commission in Gurgaon has ordered Yashoda Superspeciality Hospital in Ghaziabad and Niva Bupa Health Insurance to jointly refund Rs 11,63,761 to the complainant, Neeraj Kumar Singhal, a resident of Sector 15, Gurugram. On top of that, they have been directed to pay Rs 50,000 as compensation for mental agony and Rs 22,000 towards litigation costs.

How it began


Singhal held a Niva Bupa health insurance policy valid from August 2024 to August 2025. In March and April 2025, he was diagnosed with malignant neoplasm of the colon and admitted to Yashoda Superspeciality Hospital in Ghaziabad for treatment, where he ran up medical expenses of over Rs 5,36,613.

He submitted all required documents, hospital estimates, and medical reports to Niva Bupa. The insurer, however, cancelled his policy. The reason cited was a finding of 20 to 30 per cent stenosis.

Singhal contested this on a key ground: back in June 2022, he had experienced back ache and consulted a cardiologist. That medical report had been shared with Niva Bupa at the very time he purchased the insurance policy in 2024. In other words, the condition was not hidden. It had been disclosed upfront, and the insurer had accepted it when issuing the policy. The commission, examining the evidence, found that the stenosis in question was a normal, treatable condition, and that cancelling a policy on this basis, without following any legal process, amounted to a deficiency in service.

What the hospital did

The complainant's grievances against Yashoda Hospital were separate and serious.

He alleged that during his first round of treatment, the hospital billed him without a valid GST number and made arbitrary charges of Rs 2,12,541 towards medicines. He also alleged that he was confined in the hospital against his will.

On 9 April 2025, he was admitted again for further treatment. This time, Niva Bupa had sanctioned Rs 3,80,000 towards the bill. But the hospital, he alleged, forcibly collected Rs 5,72,000 from him, nearly Rs 1,92,000 more than what the insurer had approved.

Surgical complications then forced a third admission on 20 April 2025. By this point, Niva Bupa provided no coverage at all.

On 23 April 2025, the hospital separately extracted Rs 45,592 from him. He also incurred Rs 48,245 in medical testing costs and Rs 19,650 in taxi fares for hospital visits across this period, none of which were reimbursed.

When no one listened

Singhal escalated the matter as far as he could. He wrote to the President of India Secretariat, the Prime Minister's Office, the Insurance Lokpal, and the Deputy Commissioner. He sent legal notices to the hospital and the insurer. None of it led anywhere.

He finally filed a consumer complaint before the Gurgaon commission in May 2025.

Neither Yashoda Hospital nor Niva Bupa appeared before the commission despite being served notice. Both were proceeded against ex-parte. With no rebuttal from either side, the commission accepted the complainant's evidence, which ran to 52 documents including premium receipts, hospital bills, discharge summaries, CT scan reports, pharmacy invoices, and email correspondence, as unrebutted and credible.

What the commission ordered

The bench, comprising President Sanjeev Jindal and members Jyoti Siwach and Khushwinder Kaur, held Yashoda Hospital and Niva Bupa jointly and severally liable.

They were directed to refund a total of Rs 11,63,761, comprising Rs 45,592 collected on 23 April 2025, Rs 48,245 in testing costs, and Rs 10,69,924 towards the broader medical expenses incurred across the three hospitalisations. The refund carries interest at 9 per cent per annum from the date the complaint was filed, 21 May 2025, until full payment is made.

The commission also awarded Rs 50,000 as compensation for mental harassment and physical suffering, and Rs 22,000 in litigation expenses.

Niva Bupa was separately directed to reinstate the complainant's health insurance policy and allow it to run until its original expiry date.

The parties have 45 days from the date the order is uploaded to comply. If they fail, the outstanding amount will attract interest at 12 per cent per annum. Non-compliance could also expose them to prosecution under Section 72 of the Consumer Protection Act, 2019, which carries a punishment of imprisonment of up to three years, a fine of up to Rs 1 lakh, or both.

Check the case judgement here: