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National Health Amendment Bill Introduced in Parliament

Essay by   •  May 31, 2015  •  Course Note  •  342 Words (2 Pages)  •  1,134 Views

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- National Health Amendment Bill introduced in Parliament

- Dr. Richard Friedland wondered how pressures at home would affect company as it strived to become global player in healthcare industry

- Proposed legislation -> pave way for regulated prices and collective bargaining between medical schemes and health service providers

Netcare Overview

- Six hospitals

- In 2001, acquired Medicross a managed health care provider network of 75 medical and dental centers across south africa

- In 2006, acquired Prime Care Holdings, provider of primary care services for emerging market with further 25 centers and 130,000 managed care customers

- 2007, with 18877 employees, Netcare demonstrating strong growth

○ Key services:

§ Private hospital and trauma services

§ Private emergency services

§ Primary care services through Medicross and Prime Cure

The South African Health Care Industry

- Two countries living side by side

○ Largely black poor population with limited access to health care and low standard of living

§ Rely on the public health care system (management of HIV/AIDs)

○ Wealthy predominantly white population utilizing world class private health care systems

§ Resembles developed country and patients are typically older and require tertiary level care

- Compared to other countries, private health care system in south Africa ranked near top in terms of access and quality while public sector ranked at the bottom

- Did not employ physicians but rather competed on basis of attracting doctors to practice in their hospitals

○ Attract the busiest doctors to practice in hospitals, organizations competed to have the latest and best medical technology

- Most of private patients covered by medical insurance which increase tariffs above inflation rates

- Growth of traditional private sector medical schemes slow

- Government option --> broaden social health insurance to general population

○ Broad based medical scheme for 1.1 million public servants company

○ Make health

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