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VZP to slash 800 doctor contracts

Practitioners say insurer's bid to hike payments doesn't cover costs

By Markéta Hulpachová
Staff Writer, The Prague Post
September 26th, 2007 issue

Spurred by criticism from general practitioners and outpatient specialists, the General Health Insurance Company (VZP), the country’s largest insurer, announced Sept. 23 that it will not renew contracts with about 800 doctors whose medical activities fall short of VZP’s requirements.
“We have no interest in renewing contracts with doctors whose only activity is writing out drug prescriptions — who do not provide any health care to speak of,” VZP Director Pavel Horák told Czech Television Sept. 23.
According to Horák, VZP’s initiative will also affect dozens of hospitals that do not provide relevant care.
“I don’t think it will be necessary to close hospitals and remove beds,” he said. He urged hospitals instead to focus on specialized care serving regional needs. “Every outpatient and inpatient health center can ensure its future by finding its own sphere of activities.”
VZP’s announcement follows weeklong negotiations, during which doctors failed to reach an agreement with health insurance companies on future payments for their services.
The discussions followed a Sept. 19 strike, when, according to the General Practitioners Union (SPL) about 80 percent of general practitioners nationwide closed their offices to protest low reimbursements from health insurance companies.
Health insurance companies currently pay general practitioners 36 Kč ($1.80) in service fees for each patient, which accounts for less than 5 percent of costs. The European Union average is double that, at roughly 10 percent, according to SPL.
“Not even the usually silent majority is avoiding the issue, which only illustrates the severity of the situation,” said SPL Chairman Václav Šmatlák.
Faced with threats of future strikes, VZP offered to increase payments to general practitioners to 42 Kč, still 13 Kč lower than the general practitioners’ demands.
“We keep emphasizing that the current negative trend will result in a dearth of general practitioners,” Šmatlák said. “Before taking over the practices of their senior colleagues, young doctors must see some sort of a perspective. Right now, there just isn’t one.”
As general practitioners expressed dissatisfaction over the inadequacy of VZP’s offer, outpatient specialists criticized VZP for not offering equal increases to all medical fields.
The Health Ministry will issue a final decision on the service fee increase within the next 60 days.

Markéta Hulpachová can be reached at mhulpachova@praguepost.com


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