What’s wrong with the NHI Bill? Let us count the ways

NHI contributions would be based on income, this would necessitate those 2.1-million South Africans each paying in an additional R11,202 per monthA lot of commentary has been delivered in the last two weeks, since the National Health Insurance Bill was introduced to parliament on August 8, covering its ramifications for the health industry and the country at large. But we also need to focus on what is not stated in the bill, as it is here that the bill’s implementation will really be tested.

The NHI Bill reveals that the chief funding for the system will be procured through general taxes, a re-allocation of tax credits and a payroll tax, calculated according to income levels Considering the minimum premium available from the scheme for a main member and spouse would be R839 each, and R505 per child, and appreciating that these premiums are applicable to the lowest earners earning up to R9,000 per month, we attempted to come up with an indication of costs.The average SA family size is two adults and two children. This means that if we were to provide medical cover for 58.8-million people, then 29.

Of further concern is the continued — and often expedited — exodus of skills, following the release of a bill such as this, which provides very little information to existing service providers regarding NHI fee-setting into the future. Doctors are, right now, very concerned about increased patient numbers, chances of medical errors, malpractice suits and premiums, as well as their own ability to meet income goals and maintain standards of living.

NHI Heaven help S.A.

The bigger question in the SA environment is how will it be administered. Our government has probably the worst record of administering and with such a gigantic pool of money, it will be looted at levels we cannot conceive!

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