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Chapter 8 | The impact of the crisis on the health system and health in the Netherlands 265 Changes to mental health care The budget for mental health care was cut by €119 million in 2010. In 2012, reductions of the budget and the tariffs on curative mental health care were set with the aim of achieving a saving of €222 million in 2012. To put this in perspective, in 2010, the total turnover of mental health care providers was €3956 million for curative mental care and €1431 million for long-term mental care. How the reductions would affect different providers of mental health care would be decided by the Health Care Authority. Reductions in both years (2010 and 2012) largely concerned curative mental health care under the Health Insurance Act provided by self-employed and institutional mental health care providers. Changes to long-term care The budget for long-term care also experienced cuts, including measures such as a reduction of entitlements for personal budgets and for counselling (see Table 8.3). In 2013, geriatric rehabilitation care was shifted from the Exceptional Medical Expenses Act to the Health Insurance Act (see section 3.2). From 2015, a structural yearly budget cut of €50 million is predicted and a major reform of long-term care is planned for that year. 3.2 Shifting costs between various statutory sources Statutory financing has been reorganized with costs being shifted among various statutory sources. For example, some of the care previously insured under the Exceptional Medical Expenses Act was shifted to the Health Insurance Act (geriatric rehabilitation care in 2013) or to the municipalities (psychological counselling in 2009), often with decreases in the budgets. In the reform of long-term care, which is under consideration (2014), there are plans to shift more long-term care from the Exceptional Medical Expenses Act to other acts, decentralizing its financing and governance, and decreasing the respective budgets. The reason for shifting long-term care to the municipalities is the idea that they can provide it more efficiently. Personal care, such as assistance with activities of daily living (algemene dagelijkse levensverrichtingen), and counselling will be removed from coverage under the Exceptional Medical Expenses Act and transferred to either the health insurers or the municipalities. The exact division of tasks is currently the subject of a political debate. The important difference between shifting care to the municipalities or to coverage under the Health Insurance Act is that care provided by the municipalities is compensation based (i.e. citizens have to be compensated for their disabilities in such a way that they can participate in society) and care provided under the Health Insurance Act is rights based (there is a list of entitlements). This

266 Economic crisis, health systems and health in Europe: country experience means that the municipalities have more policy discretion in shaping provision of services formerly provided under the Exceptional Medical Expenses Act, as long as they compensate citizens for their inability to participate in society. For example, municipalities may choose to substitute professional care with other solutions, such as care provided by neighbours or volunteers. The new Act, containing only intensive long-term care for older people and people with disabilities, will be called the Long-Term Care Act (Wet Langdurige Zorg) and should come into force in 2015. Personal care (e.g. help with washing, dressing, eating) will be removed from the entitlements under the Exceptional Medical Expenses Act, with only nursing care and institutional care to be covered under this Act. The exact content of the new Act is still subject to discussion (2014). The government has succeeded in limiting the growth of its own contribution to health care financing since the beginning of the crisis (Table 8.6). The decrease in expenditure under the Exceptional Medical Expenses Act 2007 and 2008 can be attributed to the transfer of home-help to the municipalities (see section 2.1 on Cost control). In the following years, a steady growth in expenditure under the Exceptional Medical Expenses Act has been noted. The decrease in the growth rate of expenditure covered under the Health Insurance Act (2009– 2011) can mainly be attributed to the lower expenditure on pharmaceuticals. The growth in OOP expenditure can be attributed to the changes in the scope and depth of coverage and the introduction (and subsequent increases) of the compulsory deductible in 2008. Table 8.6 Health care expenditure in the Netherlands, 2006–2011 Expenditure (€ million (% change)) 2006 2007 2008 2009 2010 2011 Government 8,206 (n.a.) 10,724 (31%) 11,328 (6%) 12,390 (9%) 12,825 (4%) 12,915 (1%) Exceptional Medical Expenses Act 23,177 (n.a.) 23,007 (−1%) 22,169 (−4%) 23,201 (5%) 24,187 (4%) 25,263 (4%) Health Insurance Act 26,727 (n.a.) 27,693 (4%) 32,325 (17%) 34,143 (6%) 35,623 (4%) 36,030 (1%) VHI 2,904 (n.a.) 3,146 (8%) 3,154 (0%) 3,384 (7%) 3,429 (1%) 3,734 (9%) OOP 6,896 (n.a.) 7,237 (5%) 7,913 (9%) 7,870 (1%) 8,075 (3%) 8,565 (6%) Other 2,812 (n.a.) 2,837 (1%) 2,866 (1%) 2,913 (2%) 3,044 (4%) 2,874 (−6%) Total 70,722 (n.a.) 74,644 (6%) 79,755 (7%) 83,901 (5%) 87,183 (4%) 89,381 (3%) Source: Statistics Netherlands, 2013b.

266 Economic <strong>crisis</strong>, <strong>health</strong> <strong>systems</strong> <strong>and</strong> <strong>health</strong> in Europe: country experience<br />

means that the municipalities have more policy discretion in shaping provision<br />

of services formerly provided under the Exceptional Medical Expenses Act, as<br />

long as they compensate citizens for their inability to participate in society.<br />

For example, municipalities may choose to substitute professional care with<br />

other solutions, such as care provided by neighbours or volunteers. The new<br />

Act, containing only intensive long-term care for older people <strong>and</strong> people with<br />

disabilities, will be called the Long-Term Care Act (Wet Langdurige Zorg) <strong>and</strong><br />

should come into force in 2015. Personal care (e.g. help with washing, dressing,<br />

eating) will be removed from the entitlements under the Exceptional Medical<br />

Expenses Act, with only nursing care <strong>and</strong> institutional care to be covered under<br />

this Act. The exact content of the new Act is still subject to discussion (2014).<br />

The government has succeeded in limiting the growth of its own contribution to<br />

<strong>health</strong> care financing since the beginning of the <strong>crisis</strong> (Table 8.6). The decrease<br />

in expenditure under the Exceptional Medical Expenses Act 2007 <strong>and</strong> 2008 can<br />

be attributed to the transfer of home-help to the municipalities (see section 2.1<br />

on Cost control). In the following years, a steady growth in expenditure under<br />

the Exceptional Medical Expenses Act has been noted. The decrease in the<br />

growth rate of expenditure covered under the Health Insurance Act (2009–<br />

2011) can mainly be attributed to the lower expenditure on pharmaceuticals.<br />

The growth in OOP expenditure can be attributed to the changes in the scope<br />

<strong>and</strong> depth of coverage <strong>and</strong> the introduction (<strong>and</strong> subsequent increases) of the<br />

compulsory deductible in 2008.<br />

Table 8.6 Health care expenditure in the Netherl<strong>and</strong>s, 2006–2011<br />

Expenditure (€ million (% change))<br />

2006 2007 2008 2009 2010 2011<br />

Government 8,206<br />

(n.a.)<br />

10,724<br />

(31%)<br />

11,328<br />

(6%)<br />

12,390<br />

(9%)<br />

12,825<br />

(4%)<br />

12,915<br />

(1%)<br />

Exceptional Medical<br />

Expenses Act<br />

23,177<br />

(n.a.)<br />

23,007<br />

(−1%)<br />

22,169<br />

(−4%)<br />

23,201<br />

(5%)<br />

24,187<br />

(4%)<br />

25,263<br />

(4%)<br />

Health Insurance Act 26,727<br />

(n.a.)<br />

27,693<br />

(4%)<br />

32,325<br />

(17%)<br />

34,143<br />

(6%)<br />

35,623<br />

(4%)<br />

36,030<br />

(1%)<br />

VHI 2,904<br />

(n.a.)<br />

3,146<br />

(8%)<br />

3,154<br />

(0%)<br />

3,384<br />

(7%)<br />

3,429<br />

(1%)<br />

3,734<br />

(9%)<br />

OOP 6,896<br />

(n.a.)<br />

7,237<br />

(5%)<br />

7,913<br />

(9%)<br />

7,870<br />

(1%)<br />

8,075<br />

(3%)<br />

8,565<br />

(6%)<br />

Other 2,812<br />

(n.a.)<br />

2,837<br />

(1%)<br />

2,866<br />

(1%)<br />

2,913<br />

(2%)<br />

3,044<br />

(4%)<br />

2,874<br />

(−6%)<br />

Total 70,722<br />

(n.a.)<br />

74,644<br />

(6%)<br />

79,755<br />

(7%)<br />

83,901<br />

(5%)<br />

87,183<br />

(4%)<br />

89,381<br />

(3%)<br />

Source: Statistics Netherl<strong>and</strong>s, 2013b.

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