NHIA Owes Us GH�500m -NHIS Service Providers Cry Out For Payment

The Society of Private Medical and Dental Practitioners (SPMDP) Ghana has made a passionate appeal to government to immediately clear about GH¢500 million arrears owed service providers to the National Health Insurance Scheme (NHIS) as the strike by public sector doctors bites hard.

Pressure is mounting on private healthcare facilities as patient numbers increase following the virtual closure of many public hospitals due to the strike by public sector doctors, who are demanding conditions of service.

National President of the Society, Dr Isaac Morrison told The Finder in an interview that members of SPMDP may not be able to continue providing service to NHIS subscribers if payment is not made before the end of this month.

“The end of this month is too far to clear the arrears,” he said.
He explained that the National Health Insurance Authority (NHIA) owes service providers between five and eight months.
“NHIA owes some facilities five months, others six months, and eight months in some case,” he said.

According to him, the NHIA runs on a monthly expenditure of about GH¢90.4 million; therefore, the minimum of five months’ arrears amounts to about GH¢500 million arrears.

When contacted, Communications Manager of NHIA, Selorm Adornoo told The Finder that executives of SPMDP and NHIA will be meeting this week to discuss the issue of payment.
This was corroborated by Dr Morrison.

GH¢887.35m NHIA funding gap
The funding crisis crippling the NHIS worsened this year as a GH¢887.35 million funding gap was projected for 2015.
The NHIA expects to receive a total amount of GH¢2,172.51m in 2015 from the National Health Insurance Levy (NHIL), Social Security and National Insurance (SSNIT), and other sources to be able to execute its mandate.

This is far and above the GH¢1.1 billion Parliament approved for the authority this year.

Consequently, additional support of GH¢887.35 million is required from government contingency funds to bridge this gap.
The figures were contained in a document titled ‘National Health Insurance Fund Allocation Formula 2015’.

This situation, according to service providers, will only worsen an already bad situation.

On accrual basis, the financial performance for the year 2014 showed that total revenue of GH¢999.59m, as against total expenditure of GH¢1,312.26, was recorded, resulting in deficit in performance of GH¢312.67m.

Premium from informal sector is budgeted at GH¢43.66 million, representing GH¢12 per member for projected membership of 3,638742 for the informal sector in 2015.

Interest income from investment
The authority expects to earn total interest income of GH¢15.95m. This is based on expected portfolio size of GH¢22m at projected return of 26.4 per annum.

Processing fees and other income
The authority expects to earn GH¢39.88m on processing fees, provider credential fees, motor insurance fees and sale of tender documents.