Private hospitals withdraw from social security contracts due to budget cuts

Miscellaneous

The Private Hospital Association revealed that many hospitals have withdrawn from contracts with the Social Security Office due to losses after the cost of treatment for high-cost diseases was reduced by 40%, from 12,000 baht per unit, Adjusted RW to only 7,200 baht per unit, and the compensation has not been adjusted for more than 5 years. It is proposed to review it at least once a year.

Dr. Paiboon Eksangsri, President of the Private Hospital Association, revealed that from 2022-2023, the Social Security Office has adjusted the medical expenses for diseases with an Adjusted RW value of more than 2 in the last quarter of both years, causing private hospitals that are contracted with the Social Security to face losses because the medical expenses have been paid in advance, including taxes that must be paid according to the estimated income. This budget reduction has a severe impact on the financial status of the hospitals.

Even though in 2022 the Social Security Office will increase the lump sum payment f
rom 1,640 baht to 1,808 baht, for high-cost and chronic diseases, there has been no increase in compensation for 5 years, which has resulted in the number of private hospitals participating in the social security system continuously decreasing. In the past 10 years, the number of participating hospitals has decreased from 120 to only 93 at present. Although there are some new hospitals joining, most of them are small hospitals that cannot accommodate enough insured persons.

Dr. Paiboon said that if this situation continues, many private hospitals that are members of the association may not be able to bear the higher costs, which may cause these hospitals to decide to withdraw from contracts with the social security, resulting in a decrease in the number of hospitals that support insured persons. If private hospitals decrease, it will create a burden on state hospitals that have to support more insured persons.

The Private Hospital Association therefore called on the Social Security Office to review the comp
ensation rates at least once a year and adjust the payment system for high-cost illnesses to an appropriate level. It proposed setting a minimum rate of 15,000 baht per Adjusted RW unit so that hospitals can operate sustainably and reduce financial burdens.

Source: Thai News Agency