| Theme area | Public-private mix; Resource allocation and health financing |
| Author | Shamu S; Loewenson R; Machemedze R; Mabika A |
| Title of publication | EQUINET Discussion Paper 82: Capital flows through Medical Aid Societies in Zimbabwe’s health sector |
| Date of publication | 2010 May |
| Publication type | Report |
| Publication details | EQUINET Discussion Paper Series 82. Training and Research Support Centre, SEATINI, Rhodes University, EQUINET: Harare. - |
| Publication status | Published |
| Language | |
| Keywords | Zimbabwe; medical aid; capital flows; |
| Abstract | Medical aid societies (MAS) in Zimbabwe cover a tenth of the population, and about 80% of income to private health care providers in Zimbabwe comes from MAS. They contribute more than 20% of the country’s total health expenditure. This paper outlines the flows of private capital that lie behind the growth of the profit medical aid and insurance health care sector in Zimbabwe. It was implemented within the Regional Network for Equity in Health in East and Southern Africa (EQUINET) by Training and Research Support Centre and SEATINI, in a regional programme co-ordinated by the Institute for Social and Economic Research, South Africa. The report proposes measures for improving the functioning of and equity in the sector and to address the current exposure of beneficiaries, including: i. Strengthening the regulatory environment to address legal ambiguities on investment of the industry’s ‘surplus’ funds, to ensure the multiple relevant laws from finance and health are known and applied by MAS/ insurance providers, and to fairly and firmly enforce the law. ii. Ensuring timely scheme reporting as required by law and maintenance of a database with basic information on schemes. iii. Ensuring registration of all schemes, avoiding increasing segmentation of the sector into small fragmented risk pools from individual schemes and encouraging (for example through enforcement of regulation on registration and liquidity requirements), mergers into larger and more viable risk pools. iv. Introducing regulatory and scheme policy measures to require and implement cross- subsidies necessary for equity and ensuring benefits packages cover personal care and personal prevention services. v. Taking up the shortfalls in coverage of medicines on existing plans. vi. Checking the degree of vertical integration in each scheme and unbundling any monopolies across the sector that are limiting patient choice (e.g. paying only for selected linked services). vii. Improving the outreach of consumer information on schemes, benefits packages and consumer rights to members and organisations servicing members (e.g. the labour movement and employer organisations). |
| Country | Zimbabwe |
| Publisher | EQUINET |
| Url | DIS82zimcapflow.pdf |
| Equinet Publication Type | Discussion paper |