News Local Cabinet approves €70m for possible private hospital GHS shortfall

Cabinet approves €70m for possible private hospital GHS shortfall

Cabinet on Wednesday approved the inclusion of  a provision for €70m in the Health Ministry’s budget to cover any deficits that may arise during the implementation of the agreement between the Health Insurance Organisation and private hospitals for in-hospital care as part of the general health scheme in 2021 and 2022.

Health Minister Constantinos Ioannou said the aim was to ensure that the financial obligations arising from the memorandum of understanding to be signed by the HIO and private hospitals’ association Pasin, and by extension the contracts to be signed by each hospital that chooses to join the GHS, are kept. Moreover, the move aims to ease concerns voiced by Pasin as to the viability of private hospitals.

The provision will be activated only if deficits arise or if the economic parameters of the memorandum are not adhered to. It will be paid in quarterly instalments to the HIO on presentation of a justified request, should the need arise.

Ioannou told reporters after the cabinet meeting that initial analysis from the HIO suggests that additional sums are not required but since private hospitals are worried, the move was intended to ease these concerns.

“The money is intended only for cover possible deficits for in-hospital care if and when they arise. If they do not, the money will not be used,” he said.

Asked whether he was optimistic private hospitals would join the FHS, Ioannoyu said that several hospitals have already approached the HIO to start consultations.

Read more

https://in-cyprus.com/private-hospitals-in-cyprus-give-green-light-to-hio-mou/

 

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