JANUARY
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DENMARK In addition, nearly 1.5 million people hold supplementary insurance to gain expanded access to private providers (CEPOS, 2014). Policies are purchased mostly from among seven for-profit insurers and are provided mainly through private employers as a fringe benefit, although some public-sector employees are also covered. Students, pensioners, the unemployed, and others outside the job market are generally not covered by supplementary insurance. Private expenditures accounted for nearly 16 percent of health care spending in 2013, and private insurance accounted for about 12 percent of total private expenditures (OECD, 2015a). What is covered? Services: Publicly financed health care covers all primary, specialist, hospital, and preventive care, as well as mental health and long-term care services. Dental services are fully covered for children under age 18. Outpatient prescription drugs, adult dental care, physiotherapy, and optometry services are subsidized. Home care and hospice care are organized and financed by the regions as described below. Decisions about levels of service and new medical treatments are made by the regions, within a framework of national laws, agreements, guidelines, and standards. Municipalities decide on the service level for most other welfare services. There is no defined benefits package, but very few restrictions exist for treatments that are evidence-based and clinically proven. Cost-sharing: There is no cost-sharing for hospital and primary care services. Cost-sharing is applied to dental care for those age 18 and older (coinsurance of 35% to 60% of total cost), outpatient prescriptions, and corrective lenses. Out-of-pocket payments represented 12.4 percent of total health expenditures in 2013 (OECD 2014), covering mostly outpatient drugs, corrective lenses, hearing aids, and doctor and dental care. Patients with outpatient drug expenses of more than 3,045 DKK (USD394) per year receive the highest reimbursement rate—85 percent. 1 Private specialists, hospitals, and dentists are free to set their own fees for patients not covered by public funding. Safety net: There are cost-sharing caps for children, and municipalities provide means-tested social assistance to older people. If personal assets are DKK77,500 (USD10,217) or less, 85 percent of all prescription drug costs are covered. Chronically ill people with high drug usage and costs can apply for full reimbursement above an annual out-of-pocket ceiling of DKK3,775 (USD498). The terminally ill also can apply for full coverage of prescriptions. Municipalities may grant financial assistance to individuals certified as otherwise unable to pay for needed medicine. How is the delivery system organized and financed? Primary care: Around 22 percent of all doctors work in general practice. All general practitioners (GPs) are selfemployed and paid by the regions via capitation (about 30% of income) and fee-for-service (70% of income). Rates are set through national agreements with the doctors’ associations. Service-based fees are used as financial incentives to prioritize services. National fees are paid per consultation, whether for office visits, e-consults, or home visits. The average income for a GP was DKK1.1M (USD145,000) in 2011. The average salary for senior hospital doctors was DKK1M (USD132,000) (Danske Regioner, 2012). The practice structure is gradually shifting from solo to group practices, typically consisting of two to four GPs and two to three nurses (Danske Regioner, 2007). The number of nurses employed has increased in the past decade; they are paid by the practice and have gradually assumed responsibility for such tasks as blood 1 Please note that throughout this profile, all figures in USD were converted from DKK at a rate of about DKK7.59 per USD, the purchasing power parity conversion rate for GDP in 2014 reported by OECD (2015b) for Denmark. 40 The Commonwealth Fund
DENMARK sampling and vaccination. Colocation of various clinicians is also on the rise, with GPs, physiotherapists, and office-based specialists operating out of the same facilities but under separate management. Anyone who chooses the “group 1” coverage option (98% of the population), under which GPs act as gatekeepers for secondary care, is required to register with a GP. People can register with any available local GP. “Group 2” coverage provides free choice of GP and access to practicing specialists without referral, though a copayment is required. Under both groups, access to hospitals requires referral. Outpatient specialist care: Outpatient specialist care is delivered through hospital-based ambulatory clinics (fully integrated and funded, as are other public hospital services) or by self-employed specialists in privately owned facilities. Private self-employed specialists can be full-time or part-time; full-timers may not have other full-time jobs. Part-timers also may work in the hospital sector, subject to codes of conduct, with their activity level monitored and their incomes limited by the regions. Practices may be colocated but normally do not operate in formal multispecialty groups. Services from self-employed private providers are paid by the regions on a fee-for-service basis for referred public patients. Fees are set through negotiations with the regions and are based on regional priorities and resource assessments. Private specialists and hospitals also receive patients paying out-of-pocket or covered by voluntary insurance. As a result of legislation initially introduced in 2013 guaranteeing patients the right to diagnostic assessment within 30 days of referral, private practitioners also may receive patients referred from public-sector providers; they are paid for these services through specific agreements with the regions. Patients have a choice of private outpatient specialists upon referral (group 1) or without referral (group 2). Administrative mechanisms for direct patient payments to providers: There is no out-of-pocket payment for medical services for patients in group 1. Primary care doctors and specialists are paid directly by the regions when registering provision of services electronically. Group 2 patients make a copayment to supplement the automatic payment (Strandberg-Larsen et al., 2007). After-hours care: After-hours care is organized by the regions, mainly by agreement with GPs on a collective basis. The Copenhagen region employs staff including specialized nurses, who do the initial screening of calls. GPs can volunteer to take on more or less responsibility within this scheme, and receive a higher rate of payment for after-hours than for normal care. Capitation does not apply to after-hours care. The first line of contact is a regional telephone service, with a GP (or a nurse, in the Copenhagen region) deciding whether to refer the patient for a home visit or to an after-hours clinic, which is usually colocated with a hospital emergency department. Information on patient visits is sent routinely to GPs. There are walk-in emergency units in larger hospitals. Hospitals: Approximately 97 percent of hospital beds are publicly owned. Regions decide on budgeting mechanisms, generally using a combination of fixed-budget and activity-based funding based on diagnosisrelated groups (DRGs), where the fixed budget makes up the bulk of the funding (although significant fluctuations occur among specialties and hospitals). DRG rates are calculated by the Ministry of Health at the national level based on average costs. Activity-based funding is usually combined with target levels of activity and declining rates of payment to control expenditure. This strategy succeeded in increasing activity and productivity by an average of 5 percent annually from 2009 to 2011 and by 1.4 percent from 2011 to 2012 (Danske Regioner, 2015). Bundled payments are not yet used extensively. Hospital physicians are salaried and employed by regional hospitals, which bear the attendant costs, as are other health care professionals in hospitals and in most municipal health services. Patients can choose among public hospitals upon referral, and payment follows the patient to the receiving hospital if it is located in another region. Physicians at public hospitals are not allowed to see private patients within the hospital. Mental health care: There is no cost-sharing for inpatient psychiatric care, but there is some cost-sharing (which may be covered by voluntary health insurance) for psychologists in private practice. Some general practitioners offer specific therapeutic consultations, but their main role is early detection and referral. International Profiles of Health Care Systems, 2015 41
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- Page 3: 2015 International Profiles of Heal
- Page 6 and 7: Table 1. Health Care System Financi
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- Page 11 and 12: The Australian Health Care System,
- Page 13 and 14: AUSTRALIA low-income adults, childr
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- Page 38 and 39: CHINA References Chen, X. (2014).
- Page 42 and 43: DENMARK Social psychiatry and care
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- Page 50 and 51: ENGLAND immunization, and vaccinati
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- Page 68 and 69: FRANCE Nolte, E., C. Knai, and M. M
- Page 70 and 71: GERMANY There were 42 substitutive
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DENMARK<br />
sampling and vaccination. Colocation of various clinicians is also on the rise, with GPs, physiotherapists, and<br />
office-based specialists operating out of the same facilities but under separate management.<br />
Anyone who chooses the “group 1” coverage option (98% of the population), under which GPs act as<br />
gatekeepers for secondary care, is required to register with a GP. People can register with any available local<br />
GP. “Group 2” coverage provides free choice of GP and access to practicing specialists without referral, though<br />
a copayment is required. Under both groups, access to hospitals requires referral.<br />
Outpatient specialist care: Outpatient specialist care is delivered through hospital-based ambulatory clinics<br />
(fully integrated and funded, as are other public hospital services) or by self-employed specialists in privately<br />
owned facilities. Private self-employed specialists can be full-time or part-time; full-timers may not have other<br />
full-time jobs. Part-timers also may work in the hospital sector, subject to codes of conduct, with their activity<br />
level monitored and their incomes limited by the regions. Practices may be colocated but normally do not<br />
operate in formal multispecialty groups.<br />
Services from self-employed private providers are paid by the regions on a fee-for-service basis for referred<br />
public patients. Fees are set through negotiations with the regions and are based on regional priorities and<br />
resource assessments. Private specialists and hospitals also receive patients paying out-of-pocket or covered<br />
by voluntary insurance. As a result of legislation initially introduced in 2013 guaranteeing patients the right to<br />
diagnostic assessment within 30 days of referral, private practitioners also may receive patients referred from<br />
public-sector providers; they are paid for these services through specific agreements with the regions.<br />
Patients have a choice of private outpatient specialists upon referral (group 1) or without referral (group 2).<br />
Administrative mechanisms for direct patient payments to providers: There is no out-of-pocket payment for<br />
medical services for patients in group 1. Primary care doctors and specialists are paid directly by the regions<br />
when registering provision of services electronically. Group 2 patients make a copayment to supplement the<br />
automatic payment (Strandberg-Larsen et al., 2007).<br />
After-hours care: After-hours care is organized by the regions, mainly by agreement with GPs on a collective<br />
basis. The Copenhagen region employs staff including specialized nurses, who do the initial screening of calls.<br />
GPs can volunteer to take on more or less responsibility within this scheme, and receive a higher rate of<br />
payment for after-hours than for normal care. Capitation does not apply to after-hours care. The first line<br />
of contact is a regional telephone service, with a GP (or a nurse, in the Copenhagen region) deciding whether<br />
to refer the patient for a home visit or to an after-hours clinic, which is usually colocated with a hospital<br />
emergency department. Information on patient visits is sent routinely to GPs. There are walk-in emergency units<br />
in larger hospitals.<br />
Hospitals: Approximately 97 percent of hospital beds are publicly owned. Regions decide on budgeting<br />
mechanisms, generally using a combination of fixed-budget and activity-based funding based on diagnosisrelated<br />
groups (DRGs), where the fixed budget makes up the bulk of the funding (although significant<br />
fluctuations occur among specialties and hospitals). DRG rates are calculated by the Ministry of Health at the<br />
national level based on average costs. Activity-based funding is usually combined with target levels of activity<br />
and declining rates of payment to control expenditure. This strategy succeeded in increasing activity and<br />
productivity by an average of 5 percent annually from 2009 to 2011 and by 1.4 percent from 2011 to 2012<br />
(Danske Regioner, 2015). Bundled payments are not yet used extensively. Hospital physicians are salaried and<br />
employed by regional hospitals, which bear the attendant costs, as are other health care professionals in<br />
hospitals and in most municipal health services. Patients can choose among public hospitals upon referral, and<br />
payment follows the patient to the receiving hospital if it is located in another region. Physicians at public<br />
hospitals are not allowed to see private patients within the hospital.<br />
Mental health care: There is no cost-sharing for inpatient psychiatric care, but there is some cost-sharing (which<br />
may be covered by voluntary health insurance) for psychologists in private practice. Some general practitioners<br />
offer specific therapeutic consultations, but their main role is early detection and referral.<br />
International Profiles of Health Care Systems, 2015 41