Pharmaceutical News
2022 Health Insurance growth ceiling set at 11-year low of 4.4%
2021/06/30

On June 28th, the National Development Council approved a growth parameter between 1.272 percent and 4.4 percent for the 2022 National Health Insurance (NHI) global budget, with the upper limit being the lowest in 11 years. The 2022 NHI global budget is estimated at around NT$800 billion. The Ministry of Health and Welfare partly attributed the growth parameter to the appreciation of the New Taiwan dollar this year, which had led to a reduction in actual health care costs. At the same time, the difference between the upper and lower parameters of the global budget growth range has risen to its highest in the past 16 years, which is conducive to reforming the NHI.

 

Regarding the low growth parameters for 2021, Ministry of Health and Welfare Department of Social Insurance Director Shang Tung-fu said that firstly, the government has taken into consideration factors including the NHI’s financial condition, the pace of Taiwan’s economic growth, and the ability of the public to shoulder the burden of NHI premiums. Secondly, as the New Taiwan dollar has strengthened against the U.S. dollar throughout this year, the real cost of health care has been reduced. Thirdly, while the NHI global budget continues to grow, there has been no significant change in the actual dollar amount growth in the 2022 global budget. For example, the 2021 global budget’s upper growth range was 4.5 percent, leading to an annual increase of NT$33.9 billion, while in 2022, the growth ceiling is 4.4 percent, leading to an annual increase of NT$34.4 billion. Therefore, analysis of the growth parameter does not adequately reflect the total growth of the NHI global budget. Instead, the differences in comparative base values must be included for consideration. In actuality, the government has raised its commitment to the NHI, Director Shang said.

 

Considering that the COVID-19 pandemic may continue well into the next year, Director Shang said that the NHI will initiate at least three expansive initiatives that will require larger expenditures. Firstly, in response to the hospitals’ need to improve containment efforts and expand capacity to care for COVID-19 patients, hospitals will hire more staff beginning next year. Secondly, enhancements will made to telemedicine to help cut down the number of outpatient visits for people with chronic diseases to reduce the risk of infection without lapses in monitoring and treatment. Thirdly, considering that many chronic diseases stem from the same risk factors, such as obesity, in conditions including hypertension, diabetes and hyperlipidemia, health authorities are planning to further the adoption of an preventative approach by establishing an integrated data platform that linking patients’ lifestyle data with their medical data, while health care professionals will cross-disciplinary as part of the government investments into health.

 

[2021-6-29/ Commercial Times]