National Health reference price list 2008
The National Health Reference Price List (NHRPL) 2008 is a document published by the Department of Health (DoH) to serve as a price reference to the private healthcare industry. In order to engage the DoH on this and related matters, South African Medical Association (SAMA) secured a meeting with the Director-General of Health to discuss the sustainability of private practice healthcare service delivery for 2008 and beyond for 09h30 on Tuesday 11 December 2007. This meeting was cancelled, by the Director-General, 15 minutes before the meeting was due to start.
The current NHRPL does not take into consideration the realities of actual practice costs, as well as the deemed equivalent state packages for medical professionals. Information relating to this was submitted to DoH via CMS in 2006. We are extremely disconcerted that this information appears not to have been incorporated in determining the NHRPL thus far.
The increase in fees suggested by the NHRPL for 2008 of approximately 5.4%, well below the CPIX, is insulting and divorced from economic reality, and of major concern to doctors in the private healthcare sector. Of particular concern is the Department of Health’s disregard of private sector cost escalations, as well as the 7.5% salary increases in the public sector.
SAMA is concerned about retaining healthcare professionals in our country and the long-term sustainability of private practice. SAMA has also been conducting cost studies to determine the cost of private practices and it is of great concern that most practices are running at a loss, with many doctors in private practice effectively earning less than their colleagues in the public sector.
The South African Medical Association would like to inform the general public and all medical practitioners in the country of its extreme dissatisfaction with the process followed in determining the NHRPL increase for 2008.
SAMA is gravely concerned and records its extreme displeasure with the unilateral decision to publish the NHRPL without inviting comments in respect of the price list as stipulated in the regulations.
SAMA wishes to reiterate that it remains for the individual doctor and other healthcare professionals to determine the worth of their services, as reinforced by the past Competitions Commission rulings in this regard, and balance-bill where appropriate, bearing in mind the individual financial circumstances of the patients we serve.
To this end, SAMA will continue to engage the relevant stakeholders to ensure that the benefit – portion payable by the patient’s medical scheme gets paid directly to the service provider.