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Make hospitals publish fees for treatment, say insurance companies

In denying that insurers ask for ‘cuts’ from hospitals, three insurance associations suggest several measures to manage rising healthcare costs.
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KUALA LUMPUR: Insurance associations suggest that the government make it compulsory for all hospitals to publish the fees for the cost of treatment.
This, they said, was to provide a choice to policyholders to select the hospital in which he/she would like to be treated and to be aware of the amount that their insurers and takaful operators were able to reimburse.
In denying allegations that their members requested hospitals for “kickbacks” for medical expenses incurred by their policyholders, the associations called for greater transparency all around.
The Life Insurance Association of Malaysia (LIAM), General Insurance Association of Malaysia (PIAM) and Malaysian Takaful Association (MTA) said in a joint statement that such allegations were unfounded.
Last week, it was reported that the health ministry and Bank Negara Malaysia would look into allegations that insurers were asking hospitals for kickbacks.
Saying greater transparency would help, they noted that fees charged by doctors in private hospitals for consultation and performance of procedures were regulated.
However, other components of the hospital charges such as fees for hospital stay, laboratory investigations, nursing care, use of equipment and operation room and drugs are not, resulting in a wide range of cost differences.
Among other things, they suggested the government should regulate and publish the recommended retail prices for pharmaceutical products, medical devices and medicines.
Hospitals should also create awareness that a more detailed billing of charges would be available upon request so that consumers were aware of the breakdown of the cost of the treatments/medicines provided to them, the statement said.
The associations said premiums had increased due to the rising costs in healthcare services, averaging 12% annually between 2010 and 2014.
“Going forward, this is projected to increase at a rate of 15% each year due to a number of reasons,” they said. - Mkini


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