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Country profiles of health system responses to the crisis | Czech Republic 363 Changes to health coverage Population (entitlement) • Reduction of entitlement to statutory coverage for foreign residents and transferred responsibility for coverage to private insurance, resulting in higher premiums for this group (2011). The benefits package • Ministry of Health providers (university hospitals with half of all beds) must adhere to positive drug lists and further lists are to be developed (2011). • Health insurers to develop positive lists for ambulatory care in 2013 (2011). • Spa treatment and some dental care was removed from statutory coverage (2012). • A Ministry of Health committee was set up to develop negative lists and exclude some services from the benefit package (2012). • Ministry of Health plans to exclude dental amalgams for adults aged 19–64 years were opposed. User charges • Drug reimbursement rates that had been cut in 2009 were increased (2011). • There was a reduction in the drug reimbursement rate by 7% between 2009 and 2011 (the increased financial burden on patients was offset by lower drug prices but once the reimbursement rate was increased, drug prices went up again) (2009). • User charges increased for inpatient stays from CZK 60 to CZK 100 per day in hospital (2011) were deemed unconstitutional in 2013 and, therefore, these user charges were eliminated in 2014. • Introduction of reference pricing for vaccinations and medical devices (2011). Changes to health service planning, purchasing and delivery Prices of medical goods • The approval process for the entry of generic drugs was simplified (2010 and 2012).

364 Economic crisis, health systems and health in Europe: country experience • Introduction of auctions for purchasing medical equipment for hospitals (2011). • VAT on pharmaceuticals and medical devices increased from 9% (2011) to 14% (2012) and 15% (2013). Salaries and motivation of health sector workers • Decrease of 10% in expenditure on public administration employees, including health sector administrative workers (2009). • Salaries of physicians working in public hospitals increased (after a national strike) (2011, 2012) but only implemented in university hospitals. Payment to providers • Established DRG payment for acute hospital care (previously global budgets were used) (2010 and 2012 onwards). • The government decree that defines the relationship between providers and health care insurance funds limited the total reimbursement of outpatient services to 98% of the 2011 level; decreased the maximum production of acute inpatient care to 95% (relative to the year 2011), for which it slightly raised the reimbursement rates; decreased the reimbursement of outpatient care provided in hospitals; equalized prices for DRGs among various hospitals; and decreased reimbursement of laboratory tests (2013). Overhead costs: restructuring the Ministry of Health and purchasing agencies • The administrative costs of health insurance funds were temporarily decreased and these savings were used to pay for health care (2011). • Proposed to create one health insurance office that would integrate all technical activities of the health insurance funds (e.g. payment for care in the EU, defining the DRG structure, classifications and registers of contracted providers and clients) (2013). • The largest health insurance fund (VZP) centralized its processes, further concentrated its structure and sold redundant property (2012). • Health insurance funds used “packages” for purchasing specific services (e.g. cataract surgery, hip replacement). Provider infrastructure and capital investment • Planned to abolish 6000 inpatient acute care beds across all hospitals in 2012 but this was not fully implemented because of resistance by hospitals.

Country profiles of <strong>health</strong> system responses to the <strong>crisis</strong> | Czech Republic<br />

363<br />

Changes to <strong>health</strong> coverage<br />

Population (entitlement)<br />

• Reduction of entitlement to statutory coverage for foreign residents <strong>and</strong><br />

transferred responsibility for coverage to private insurance, resulting in<br />

higher premiums for this group (2011).<br />

The benefits package<br />

• Ministry of Health providers (university hospitals with half of all beds)<br />

must adhere to positive drug lists <strong>and</strong> further lists are to be developed<br />

(2011).<br />

• Health insurers to develop positive lists for ambulatory care in 2013<br />

(2011).<br />

• Spa treatment <strong>and</strong> some dental care was removed from statutory coverage<br />

(2012).<br />

• A Ministry of Health committee was set up to develop negative lists <strong>and</strong><br />

exclude some services from the benefit package (2012).<br />

• Ministry of Health plans to exclude dental amalgams for adults aged<br />

19–64 years were opposed.<br />

User charges<br />

• Drug reimbursement rates that had been cut in 2009 were increased<br />

(2011).<br />

• There was a reduction in the drug reimbursement rate by 7% between<br />

2009 <strong>and</strong> 2011 (the increased financial burden on patients was offset by<br />

lower drug prices but once the reimbursement rate was increased, drug<br />

prices went up again) (2009).<br />

• User charges increased for inpatient stays from CZK 60 to CZK 100<br />

per day in hospital (2011) were deemed unconstitutional in 2013 <strong>and</strong>,<br />

therefore, these user charges were eliminated in 2014.<br />

• Introduction of reference pricing for vaccinations <strong>and</strong> medical devices<br />

(2011).<br />

Changes to <strong>health</strong> service planning, purchasing <strong>and</strong> delivery<br />

Prices of medical goods<br />

• The approval process for the entry of generic drugs was simplified (2010<br />

<strong>and</strong> 2012).

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