Clipping Board » Medical Affairs and Administration ─ Medical system, pharmaceuticals, and medical community-related reports
2009-02-25 News Flash [Central News Agency]
Hsieh Tien-jen, Chairman of the Consumer Foundation, stated today that 80% of the growth rate in general medical service payments under the National Health Insurance (NHI) does not require negotiation, and drug price expenditures account for a quarter of the total annual spending. He urged the Control Yuan to actively intervene and investigate issues such as the lack of transparency in NHI finances.
Hsieh Tien-jen mentioned that the NHI financial shortfall reached NT$28 billion by the end of last year and is expected to increase to NT$60 billion by the end of this year, accounting for nearly 13% of the total NHI expenditures in 2008.
He also noted that despite the NHI Bureau's annual complaints of financial strain, a 4% annual increase in the NHI budget is still insufficient. The approved expenditure for 2008 was NT$460.47 billion, which is NT$84.216 billion more than the NT$376.191 billion in 2003. Including the existing NT$28 billion shortfall, the current NHI expenses are over NT$110 billion higher than in 2003.
He stated that the Consumer Foundation's investigation found that NHI waste is the primary cause of the financial shortfall. After analyzing the situation, several issues were identified, and the Control Yuan should actively intervene to investigate.
First, in the 2009 NHI total expenditure, the growth rate of non-negotiable factors (which do not require review by 28 committee members) ranges from 1.92% to 3.836%, compared to the negotiable portion's 0.228% to 0.704%, accounting for 80% of the growth rate in general medical service payments. Relevant information is also not transparent. Based on the approved budget growth rate of 3.455% for 2009, NT$12 billion out of NT$15.9 billion does not require negotiation.
Second, drug prices account for a quarter of the total annual expenditure, and there is a lack of proper oversight. Based on a rounded total of NT$460 billion, this amounts to NT$115 billion. In 2006, there was also an incident where hospitals and pharmaceutical companies colluded to inflate drug prices . Additionally, Taipei and Kaohsiung cities owe NT$54.738 billion in NHI premiums.
Wu Jia-cheng, Secretary-General of the Consumer Foundation, said that if the NHI system were successful, the number of patients should decrease. However, the opposite is happening. Are people becoming less healthy? Yang Hsiao-shui-jung, a liaison director of the Consumer Foundation's NHI Committee, bluntly stated that the NHI finances have essentially collapsed. If the NHI Bureau continues to receive performance bonuses, it should demonstrate management performance; otherwise, the financial issues will become a bottomless pit, and there will be no NHI to rely on. Hsieh Tien-jen emphasized that the Consumer Foundation advocates for the Control Yuan to actively investigate the NHI financial black hole. 980225
Source: http:/ / news. chinatimes. com/ C……0507+132009022501017,00. html
Update Date: 2009/02/26 00:47 Jiang Peijun
The 1.5-generation National Health Insurance (NHI) was urgently halted amidst widespread opposition. However, the Consumers' Foundation today (25th) publicly questioned that despite the NHI Bureau's annual claims of financial difficulties, with a financial shortfall of 28 billion last year (97), the current NHI premiums are already more than 110 billion higher than in 92. Where exactly are the NHI premiums being spent?
The Consumers' Foundation pointed out that the issue of the NHI financial shortfall is not something that can be resolved by simply changing the current system to collect more fees! Instead, it is necessary to reduce the wasteful expenditure of NHI fees and to re-examine the total amount formula. The method and content of the total amount negotiation actually cannot fairly assess the budget for the next year!
Chairman of the Consumers' Foundation, Xie Tianren, stated that the NHI total budget increases by 4% annually, but the NHI Bureau always exhausts the budget each year to strive for a higher budget the following year, leading to the problem of medical resource waste.
Xie Tianren further criticized that although the current NHI fees have increased by more than 110 billion compared to 92, the NHI finances are still in deficit. The biggest problem is that the budget information is not transparent, and there is no oversight.
Looking at the budget approved for this year, the non-negotiable factors agreed upon by the National Health Insurance Medical Expense Agreement Committee have a growth rate of 1.92% to 3.836%, while the growth rate of negotiable factors is only 0.228% to 0.704%. This means that non-negotiable factors account for 80% of the growth rate of general medical service payments.
Xie Tianren pointed out that with a 3.455% growth rate in the approved budget for 98, the total amount increased by approximately 15.9 billion, of which 80% (12 billion) did not require negotiation, compressing the negotiation space and clearly violating the NHI law.
Additionally, the issue of inflated drug prices is also a major cause of the financial black hole, with drug price expenditures accounting for a quarter of the total expenditure each year. Based on a 460 billion budget, drug expenses account for 115 billion. However, there are frequent reports of hospitals colluding with pharmaceutical companies to inflate drug prices. If drug prices continue to rise without an improvement in quality, the public will lose both money and health, and the drug price black hole will expand indefinitely.
The Consumers' Foundation also pointed out that the debts of Taipei and Kaohsiung from 84 to 97 reached 54.738 billion, and the government's total debt is a huge figure. The NHI Bureau has not actively pursued these debts, and the Control Yuan should investigate whether the government's accumulation of NHI fees is illegal or derelict.
The Consumers' Foundation specifically named the "Fee Association," pointing out that the task of reviewing the 400 billion NHI budget is carried out by 27 members of the Fee Agreement Committee, with no other agency overseeing or auditing.
The Fee Association responded that each year, based on the Executive Yuan's annual medical budget, NHI budget negotiations are conducted. After the committee reaches a consensus, it will be submitted to the Department of Health for approval, and the resolution content will be published and made available to the Legislative Yuan or published on the Fee Association's website, with absolutely no issue of information not being disclosed.
The Consumers' Foundation also called for the NHI Bureau to strengthen the oversight system and avoid the expansion of the financial shortfall, rather than blindly filling the black hole with money. Otherwise, NHI fees may become a de facto NHI "tax," and the NHI Bureau's waste will be paid for by the public.
Source: http:/ / tw. news. yahoo. com/ art……url/ d/ a/ 090226/ 52/ 1f33m. html
Consumer Foundation Urges Ombudsman to Investigate NHI Financial Deficit
Hsieh Tien-jen, Chairman of the Consumer Foundation, stated today that 80% of the growth rate in general medical service payments under the National Health Insurance (NHI) does not require negotiation, and drug price expenditures account for a quarter of the total annual spending. He urged the Control Yuan to actively intervene and investigate issues such as the lack of transparency in NHI finances.
Hsieh Tien-jen mentioned that the NHI financial shortfall reached NT$28 billion by the end of last year and is expected to increase to NT$60 billion by the end of this year, accounting for nearly 13% of the total NHI expenditures in 2008.
He also noted that despite the NHI Bureau's annual complaints of financial strain, a 4% annual increase in the NHI budget is still insufficient. The approved expenditure for 2008 was NT$460.47 billion, which is NT$84.216 billion more than the NT$376.191 billion in 2003. Including the existing NT$28 billion shortfall, the current NHI expenses are over NT$110 billion higher than in 2003.
He stated that the Consumer Foundation's investigation found that NHI waste is the primary cause of the financial shortfall. After analyzing the situation, several issues were identified, and the Control Yuan should actively intervene to investigate.
First, in the 2009 NHI total expenditure, the growth rate of non-negotiable factors (which do not require review by 28 committee members) ranges from 1.92% to 3.836%, compared to the negotiable portion's 0.228% to 0.704%, accounting for 80% of the growth rate in general medical service payments. Relevant information is also not transparent. Based on the approved budget growth rate of 3.455% for 2009, NT$12 billion out of NT$15.9 billion does not require negotiation.
Second, drug prices account for a quarter of the total annual expenditure, and there is a lack of proper oversight. Based on a rounded total of NT$460 billion, this amounts to NT$115 billion. In 2006, there was also an incident where hospitals and pharmaceutical companies colluded to inflate drug prices . Additionally, Taipei and Kaohsiung cities owe NT$54.738 billion in NHI premiums.
Wu Jia-cheng, Secretary-General of the Consumer Foundation, said that if the NHI system were successful, the number of patients should decrease. However, the opposite is happening. Are people becoming less healthy? Yang Hsiao-shui-jung, a liaison director of the Consumer Foundation's NHI Committee, bluntly stated that the NHI finances have essentially collapsed. If the NHI Bureau continues to receive performance bonuses, it should demonstrate management performance; otherwise, the financial issues will become a bottomless pit, and there will be no NHI to rely on. Hsieh Tien-jen emphasized that the Consumer Foundation advocates for the Control Yuan to actively investigate the NHI financial black hole. 980225
Source: http:/ / news. chinatimes. com/ C……0507+132009022501017,00. html
NT$110 Billion Health Insurance Funds Vanish: Consumer Foundation Warns of Potential Shift to Health Insurance "Tax"
The 1.5-generation National Health Insurance (NHI) was urgently halted amidst widespread opposition. However, the Consumers' Foundation today (25th) publicly questioned that despite the NHI Bureau's annual claims of financial difficulties, with a financial shortfall of 28 billion last year (97), the current NHI premiums are already more than 110 billion higher than in 92. Where exactly are the NHI premiums being spent?
The Consumers' Foundation pointed out that the issue of the NHI financial shortfall is not something that can be resolved by simply changing the current system to collect more fees! Instead, it is necessary to reduce the wasteful expenditure of NHI fees and to re-examine the total amount formula. The method and content of the total amount negotiation actually cannot fairly assess the budget for the next year!
Chairman of the Consumers' Foundation, Xie Tianren, stated that the NHI total budget increases by 4% annually, but the NHI Bureau always exhausts the budget each year to strive for a higher budget the following year, leading to the problem of medical resource waste.
Xie Tianren further criticized that although the current NHI fees have increased by more than 110 billion compared to 92, the NHI finances are still in deficit. The biggest problem is that the budget information is not transparent, and there is no oversight.
Looking at the budget approved for this year, the non-negotiable factors agreed upon by the National Health Insurance Medical Expense Agreement Committee have a growth rate of 1.92% to 3.836%, while the growth rate of negotiable factors is only 0.228% to 0.704%. This means that non-negotiable factors account for 80% of the growth rate of general medical service payments.
Xie Tianren pointed out that with a 3.455% growth rate in the approved budget for 98, the total amount increased by approximately 15.9 billion, of which 80% (12 billion) did not require negotiation, compressing the negotiation space and clearly violating the NHI law.
Additionally, the issue of inflated drug prices is also a major cause of the financial black hole, with drug price expenditures accounting for a quarter of the total expenditure each year. Based on a 460 billion budget, drug expenses account for 115 billion. However, there are frequent reports of hospitals colluding with pharmaceutical companies to inflate drug prices. If drug prices continue to rise without an improvement in quality, the public will lose both money and health, and the drug price black hole will expand indefinitely.
The Consumers' Foundation also pointed out that the debts of Taipei and Kaohsiung from 84 to 97 reached 54.738 billion, and the government's total debt is a huge figure. The NHI Bureau has not actively pursued these debts, and the Control Yuan should investigate whether the government's accumulation of NHI fees is illegal or derelict.
The Consumers' Foundation specifically named the "Fee Association," pointing out that the task of reviewing the 400 billion NHI budget is carried out by 27 members of the Fee Agreement Committee, with no other agency overseeing or auditing.
The Fee Association responded that each year, based on the Executive Yuan's annual medical budget, NHI budget negotiations are conducted. After the committee reaches a consensus, it will be submitted to the Department of Health for approval, and the resolution content will be published and made available to the Legislative Yuan or published on the Fee Association's website, with absolutely no issue of information not being disclosed.
The Consumers' Foundation also called for the NHI Bureau to strengthen the oversight system and avoid the expansion of the financial shortfall, rather than blindly filling the black hole with money. Otherwise, NHI fees may become a de facto NHI "tax," and the NHI Bureau's waste will be paid for by the public.
Source: http:/ / tw. news. yahoo. com/ art……url/ d/ a/ 090226/ 52/ 1f33m. html