LETTER: Cosy healthcare sector needs to be shaken up
Apply limits to medical scheme administrators and the three big hospital groups
15 November 2021 - 15:27
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The Health Market Inquiry initially recommended that no hospital group have more than 20% of the beds in the private sector because the three big groups do 94% of bed days, and the lack of competition results in high prices and indifferent quality.
We at PPO Serve recommended that there should be a regional maximum of 30% and that the same 20% national and 30% regional limits also apply to medical scheme administrators, so the cosy industry that is so dysfunctional can be shaken up by genuine competition.
Unfortunately, the inquiry lacked the courage and ultimately did nothing, and we are all poorer for it.
Dr Brian Ruff,Via BusinessLIVE
JOIN THE DISCUSSION: Send us an email with your says. Letters of more than 300 words will be edited for length. Send your letter by email to letters@businesslive.co.za. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
LETTER: Cosy healthcare sector needs to be shaken up
Apply limits to medical scheme administrators and the three big hospital groups
Michael Avery’s latest Badger column refers (“Mediclinic ruling reflects jaundiced view of business that hurts all”, November 15). The lack of competition in healthcare is a real issue, with negative consequences for patients.
The Health Market Inquiry initially recommended that no hospital group have more than 20% of the beds in the private sector because the three big groups do 94% of bed days, and the lack of competition results in high prices and indifferent quality.
We at PPO Serve recommended that there should be a regional maximum of 30% and that the same 20% national and 30% regional limits also apply to medical scheme administrators, so the cosy industry that is so dysfunctional can be shaken up by genuine competition.
Unfortunately, the inquiry lacked the courage and ultimately did nothing, and we are all poorer for it.
Dr Brian Ruff,Via BusinessLIVE
JOIN THE DISCUSSION: Send us an email with your says. Letters of more than 300 words will be edited for length. Send your letter by email to letters@businesslive.co.za. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
MICHAEL AVERY: Mediclinic ruling reflects jaundiced view of business that hurts all
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