Neesa Moodley: Business Report, 11 October 2006

THE national health reference price list, which provides a guide for annual increases by health professionals, will be finalised early next year. Spokesperson for the health department, Sibani Mngadi, said the price list would be finalised after draft regulations around the formulation of the reference prices had been published. But medical schemes usually use the reference price list rates to negotiate fees with service providers and to design benefit schedules for the year ahead. The health department advised healthcare funders and provider groups to use the 2006 reference price list as an interim measure and "factor an appropriate inflation index in determining tariffs for 2007". The department urged the industry to act in a manner that would not jeopardise consumers. Rajesh Patel, the head of benefits and risk at the Board of Healthcare Funders, said a delay might result in healthcare professionals leaning their fee structures towards the Health Professions Council price list, which was about three times higher than the national reference price list rates. The draft national reference price list included a 4.6 percent rise for a consultation with a general practitioner and a 4.9 percent rise for specialists. The SA Medical Association (Sama) said it had requested a consultative process to discuss the technical components of its submissions. Aquina Thulare, the general secretary of Sama, said his organisation was still waiting for proper feedback on how the Health Department took doctors' comprehensive practice cost study submissions into account when determining the proposed increase. Practice cost studies had been done according to prescribed methodology by the Council for Medical Schemes.