The association, which represents over 94 percent of private hospitals in the country, said it would like to have further talks with the department of health on the issue.

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Health Minister Manto Tshabalala-Msimang's announced in Parliament on Wednesday that unregulated private healthcare could not be sustained. Draft legislation intended to regulate the sector would be tabled within two months, she said.

Hasa said has not seen any of the proposed regulations nor had it entered into any discussions with the department on them.

'Negotiations are robust'
Tshabalala-Msimang told Parliament she was shocked to hear at a meeting with the medical schemes industry recently that they were by and large forced by the private hospital groups to enter into agreements on tariff increases even though they felt that the demands of the hospitals were not justified.

This was however refuted by Hasa chief executive Kurt Worrall-Clare. "There are approximately 130 registered medical schemes in South Africa yet only six medical aid administrators represent 71.6 percent of schemes in provider negotiations, as a result of this, negotiations are robust," he said.

He added that the focus should rather be on appropriate infrastructure. South Africa has 2.7 hospital beds per 1 000 population, significantly below emerging market averages of 4.4 beds per 1 000.

The public healthcare sector has over 100 000 beds while the private hospital sector has 28 000. Both the public and private sector are hitting capacity constraints. – (Sapa)

March 2008

Read more:
Manto's plan could endanger SA hospitals
Industry needs an emergeny operation
 

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