Medical Aid News South Africa

Private health fees should reflect CPIX

Health Minister Manto Tshabalala-Msimang has urged the private health industry to ensure their tariff increases reflect the Consumer Price Index (CPIX) for the previous financial year.

Addressing the Private Sector Hospital Groups on Thursday, Minister Tshabalala-Msimang said in this way, the private hospitals would be keeping health care accessible to the general public.

“[There is] an increasingly smaller number of people who can sustainably afford to access and utilise private sector services,” said the minister, adding that the sustained cost escalation in the private sector continues to be a major area of concern for the department.

This follows last year's announcement by private hospitals that they would be increasing their tariffs.

“We have all agreed that our focus in 2008 is to ensure that the private health industry does genuinely address the problem of cost escalation and that this manifests itself into lower and more affordable tariffs for the population,” she said.

She said the recommendation against the tariff increase has been carefully made following the meetings that the department has had with the various hospital groups.

The minister noted that the private sector had failed to submit information requested by the department earlier this year regarding the reasons behind the tariff increase.

“You were requested to provide information on the current salary structures of nurses and to provide evidence to confirm your claim regarding the extent to which salaries have increased.

“My officials have informed me that this was not provided,” said Tshabalala-Msimang.

She further reminded the groups that the health of people is a national priority.

“We cannot allow the motive for financial gain override the drive for quality health care.

“We must be vigilant to ensure that these problems are corrected and also be vigilant to ensure that there is no abuse of patient records and patient confidentiality, this will be a violation of the National Health Act.”

She said, as the Minister of Health she had a continuing responsibility to safeguard the health of all our citizens.

“I am stressing this point as I am not just responsible for the public sector but also responsible for patients who use the private sector,” said Tshabalala-Msimang.

The minister said she would continue therefore to take a keen interest in the developments in this sector as well as its influence on the health status of the population.

The private health sector is a significant part of our national health system, she said.

In February the minister announced that government was developing legislation which will improve the accessibility and affordability of private health care in South Africa and regulate private health care tariffs.

Article published courtesy of BuaNews

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