{"id":111031,"date":"2015-04-24T11:35:38","date_gmt":"2015-04-24T11:35:38","guid":{"rendered":"http:\/\/4cd.e16.myftpupload.com\/?p=111031"},"modified":"2015-04-24T12:23:42","modified_gmt":"2015-04-24T12:23:42","slug":"new-office-not-cause-of-financial-challenges-nhia","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2015\/04\/new-office-not-cause-of-financial-challenges-nhia\/","title":{"rendered":"New office not cause of financial challenges – NHIA"},"content":{"rendered":"

The National Health Insurance Authority (NHIA) has announced that it is working hard to secure a permanent solution to its funding challenges.<\/p>\n

The difficulty, according to the Authority has arisen as a result of growth in membership of the scheme and utilization of services which have created a funding gap.<\/p>\n

[contextly_sidebar id=”F6GTB6YLYEwokiNFD8QTm0NetY5dsG1D”]The National Health Insurance Scheme (NHIS) has a total membership of 10.2 million and it recorded a utilization of 29 million in 2014 translating into a claims burden of GHC 968 million for that year.<\/p>\n

Responding to a recent press conference addressed by the Pharmaceutical Society of Ghana, the Deputy Chief Executive in-charge of operations at the NHIA, Nathaniel Otoo assured service providers about the Authority\u2019s efforts to have the matter resolved.<\/p>\n

\u201cThe NHIA is aware and concerned about the delays in reimbursement of claims to our esteemed providers. We don\u2019t take this issue lightly and we are taking every step that is possible to bring the payments in line with the statutorily provided payment period which is about three months,\u201d he remarked.<\/p>\n

Mr. Otoo however indicated that it is not proper to assume that the funding challenges of the scheme is due to certain activities the scheme has undertaken such as the instant ID card based on biometric data, funding of prescription form and construction of offices.<\/p>\n

He said these activities are rather cost saving measures to extend the sustainability period of the scheme.<\/p>\n

According to him, the various issues the Authority is working to address are short and long term measures.<\/p>\n

\u201cThe short-term is to bridge the gap of payment delays and the long term is to ensure that the scheme is able to manage within the funds that it has to keep providers at float,\u201d he said.<\/p>\n

Mr. Otoo mentioned that the allegations that the NHIA predominantly uses between 20 and 50% of available funds to fund non-core activities are untrue.<\/p>\n

\u201cAs a matter of fact, the NHIA does not spend 50% of resources on financing non-core activities,\u201d he argued.<\/p>\n

He stated that The National Health Insurance Act before it was reviewed in 2012 had a provision for investment in ventures that will improve access to healthcare and this provision had no cap on this line of expenditure.<\/p>\n

But in the new law, \u201cthat provision has been retained but there is a cap of 10% expenditure and it will interest you to know that the NHIA did not even spend 5% in 2015 as we realised the need to ensure that funds that are available are used to pay claims which is one of our most core activities.\u201d<\/p>\n

He continued that the Authority recognizes the sentiments being raised by the service providers and the general public \u201cbut there are some aspects of infrastructure which appears in our budget which we\u2019ve never even started.\u201d<\/p>\n

\u201cConstruction of District offices has appeared in our budget continually for three years but we have not started constructing them because we actually look at the cash flow situation and we want to manage it that way,\u201d he revealed.<\/p>\n

\u201cThere are other areas that might seem unnecessary but the effect of it is that it will free up more money for the NHIS to be efficient,\u201d he added.<\/p>\n

 <\/p>\n

By: Efua Idan Osam\/citifmonline.com\/Ghana
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