Starting yesterday, unified tariff system for medical institutions entered into force

By Natalia Kochiashvili

Friday, November 22

The first reform implemented by the newly appointed Minister of Health Ekaterine Tikaradze has been the subject of criticism from the medical sector.

Representatives of 25 medical institutions demanded a 6-month delay in the reform and openly stated that this reform will lead to a sharp deterioration in the quality services.

From November 21, a unified tariff system has been introduced for medical institutions involved in the universal health care program. The regulation applies to cardiac surgery and resuscitation. From now on, clinics will have to provide health services at the rates set by the Ministry of Internally Displaced Persons from the Occupied Territories, Labour, Health and Social Affairs of Georgia.

Despite requests from private medical clinics and lawmakers, this part of the reform of the Ministry of Health has not been postponed.

Representatives of the clinics, members of the health committee and deputy health ministers were discussing the issue on November 20 in parliament for 3 hours. The meeting was also attended by the business ombudsman.

Health Ministry also issued a response to an open letter from clinics in which 25 medical facilities are protesting the introduction of a uniform tariff and ask for its suspension by 6 months.

According to a response from the agency, the ministry carried out a thorough analysis of the risks and benefits associated with the expected changes before planning the ongoing reform.

“Most of the risks outlined in the Open Letter lack or fail to outweigh the benefits expected from the reform in terms of protecting citizens' interests, health, social welfare, and illness-related disaster costs,” read the response.

According to the ministry, a communication platform has been created for several months by the initiative of the minister within the framework of which high-ranking officials of the ministry meet with all stakeholders.

The letter explained that within this platform, during the 4 months period from July to November 32 meetings were held with various community groups, among them 6 were held with the hospital sector directly led by the health minister and more by deputy ministers. This was the opportunity for hospital managers and other representatives to openly speak about concerning issues, however ministry, as the announcement reads, ruled out the possibility of individual meeting with ministers/deputy ministers, since this format “strongly contradicts the principle of communication established by the ministry”, since such meetings are considered only for the personal interests and not for the general needs of the medical sector.

As the ministry explains, by enacting universal tariffs, the ministry will eliminate the unjustified difference in the cost of services for all medical institutions participating in the program.

“Apart from the "historical minimum" factor (prices submitted by providers involved in the program at an early stage of the Universal Health Program's entry into force were kept, while new providers were able to offer higher prices), the inconsistency in the pricing principle (including indirect share and profit) is noteworthy,” stated the Ministry of Health.

The letter is enclosed with a calculation showing tariffs for research, medication, nutrition and other expenses.