The proposed initiative seeks to regulate healthcare tariffs to ensure medical scheme members face fairer and more predictable costs for services.

The draft exemption covers several key aspects, including setting maximum prices that healthcare practitioners can charge for both prescribed minimum benefits and non-prescribed benefits, as well as standardising procedure coding. Additionally, it will determine quality metrics and support health technology assessments. These changes are intended to bring more clarity and fairness to healthcare pricing.

“We are optimistic about the potential for these regulations to increase transparency and help moderate rising healthcare costs,” said Minister Tau. “The focus is to create a more affordable system for medical scheme members while maintaining the quality of care.”

However, not all industry stakeholders are fully convinced that the exemption will resolve the sector’s challenges. Thoneshan Naidoo, Chief Executive Officer of the Health Funders Association, expressed concerns that a "one size fits all" approach might undermine the overall quality of care. “While we support the intentions behind the draft, a blanket approach to tariff regulation may overlook the complexities of the healthcare system,” said Naidoo. “Focusing solely on prices without addressing factors like healthcare utilisation could fail to reduce the broader costs associated with care.”

Naidoo further said that tackling tariffs alone would only address a portion of the issue. “Tariffs are just one part of the problem. We must also consider factors like the increasing number of healthcare visits and the need for value-based care, which focuses on improving patient outcomes rather than just the cost of services,” he added.

Despite these concerns, the draft exemption has been welcomed as a positive step towards improving the healthcare system. However, many believe that further dialogue with stakeholders, including healthcare providers and funders, is crucial to ensuring that the final regulations are both effective and sustainable.

The public consultation period for the draft exemption is open until March 31, with stakeholders encouraged to submit their feedback to inform the final decision on the new pricing regulations.

--ChannelAfrica--