ADB To Help Palau Set Up Health Insurance Program
Friday: July 04, 2008
(Asian Development Bank)
The Asian Development Bank (ADB) is helping Palau develop a viable health insurance program to compliment existing funding for health care provided by the Government and donor partners.
“While health care delivery in Palau is satisfactory and health indicators are relatively high, the sustainability of health care financing needs to be improved,” said ADB Social Development Specialist Hayman Win. “Only a small percentage of citizens are covered by private medical insurance and despite increase in Government funding this makes them vulnerable at a time when health care costs are rising.”
ADB has approved a technical assistance grant of $400,000 financed by the Japan Special Fund, covering the bulk of the $500,000 equivalent program. The Government is funding the balance to help finance counterpart staff, office space, administrative support and data collection services.
The nation’s public health care system is under pressure due to demands placed on it by Palau’s aging population, and a higher prevalence of non-communicable diseases such as diabetes and cancer due to general trends in poor diet, sedentary lifestyles, and age related diseases.
The Government has tried to improve cost recovery and the collection of fees for health care, but these measures have resulted in some patients forgoing medical care because of large out-of-pocket costs. Although informal community social safety nets exist in the form of large family networks, required upfront payments for overseas treatment are reportedly driving the families of some patients into poverty.
Under the technical assistance conducted over 14 months, ADB will help the Government implement its recently approved National Healthcare Coverage and Savings Act. The Act requires establishment of a national health savings plan, and a national group health insurance plan.
ADB will also conduct a detailed assessment to determine the financial viability of Palau’s national health savings plan and make recommendations to improve its scope and fiscal sustainability.
“The Government of Palau looks forward to working with ADB on this financing innovation. This will be the third ADB grant assistance package since early 2007 with a total value of $2.1 million,” said ADB Governor and Finance Minister Elbuchel Sadang.
Previously, ADB has extended grants to assist the Palau Government to achieve economic sustainability through improved economic and infrastructure by the Government.
Source : http://www.pacificmagazine.net |
