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Thursday, May 18, 2006

Debate over health care subsidy

A new initiative to cut doctors' bills for more than 700,000 New Zealanders have to not be used as a method for Government to meddle in fee rates for individual surgeries, Ashburton's GP spokesperson Mick Tarry says.

The government's $120 million health care subsidy, set to make doctors' visits cheaper for people aged between 40 and 65, is due for implementation on July 1.
However, that subsidy comes with a few fish hooks, which doctors find unpalatable, Dr Tarry said.

The subsidy in itself is outstanding news for patients, with fees set to drop from around $50 a visit to between $23 and $30, but it is where that final fee will settle that is causing the problems, he said.

"There is a dispute in the medical profession and with business owners because the Government is specifying how much that fee should go down to."
When an earlier subsidy reducing fees for 19 to 24-year-olds was introduced, the process was a simple one, Dr Tarry said.

"That time they just said come up with a reasonable fee and most settled at $25This time round the government is annoying to force doctors to come up with a "one fee fits all" answer and that simply will not work because each practice had a different range of costs, he said.

Indications are the government wants that fee to settle at $24, but GPs around New Zealand are challenging this amount.

"The sticking point is over how much our fees are reduced and we're arguing over $2 or $3 dollars, a piddle amount really, but we want to be able to set our fees within a range and we're miffed they're not prepared to trust us with implementing a significant reduction in our fees."

"We provide a lot of information already because it is built into our contracts, but now they're asking us to give quality indicators as well. You do have to wonder about the relevance of some of the information they want."

"Gone are the days when you could have a little practice on your own and just see your patients. People don't really realize the amount of information we have to provide and the pressures that go on behind the scenes in our small businesses."

While the country's GPs were battling to retain some suppleness in the system, Dr Tarry said he would hate to see the newest patient fee subsidy abandoned because agreement could not be reached.

"It would be a real pity if the patient doesn't end up getting the benefit of it."

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