Waukeshahealthinsurance.com-
The Colombian government will pay private health insurers 820 billion pesos ($215 million) for high-cost treatments and drugs starting last year, according to a letter from the health ministry.
In a letter to the Office of the Inspector General, the ministry said it has asked the finance ministry to take stock of the country's debt. The announcement comes after the government regulator last week asked the Ministry of Health to provide insurers with information on the expected period. Indades Promotoras de Salud, It will be done.
Private health insurers have warned that their financial viability is at risk, citing inadequate government transfers and delayed payments from the administration of President Gustavo Petro. Through ACEMI, the industry group representing the companies, they highlighted the need for a key funding formula before the end of the year.
Every year in December, the Ministry of Health prepares the UPC, which determines how much the government will transfer to insurers for a health care system user. If the government chooses not to set a benchmark, the UPC will rise in line with consumer inflation, which is forecast to end the year below 10 percent.
At the very least, ACEMI said an increase of 6 or 7 percentage points and inflation would be needed. In a letter to the government watchdog, the ministry said there was “no evidence” that transfers to each beneficiary were insufficient. It is not clear how much the UPC will increase for 2024 or when a decision will be made.
The Finance Ministry did not respond to a request for comment on whether it needs to issue more peso bonds to cover debts. ACEMI also did not respond to a request for comment.
Photo: The National Capitol building at Plaza Bolivar in Bogota, Colombia, Thursday, July 28, 2022. Photo credit: Natalia Angarita/Bloomberg
Copyright 2024 Bloomberg.
Topics
Carriers
interested in Carriers?
Get automatic alerts for this topic.