A $7 million study com missioned by the Health and Welfare Bureau has sparked a debate over the state of the SAR's health-care system and whether an overhaul is necessary.
The Harvard report, prepared by Professor William Hsiao with the help of 14 other academics at the American university, recommended a revamp of the present system by introducing an integration of private and public services and greater choice based on a 'money-following-the- patient' principle.
Explaining the concept behind his proposals, Professor Hsiao said: 'Every resident should have access to reasonable quality and affordable health care. The Government assures this through a system of shared responsibility between the state and residents, where those who can afford to pay for health care should pay.' He also urged the adoption of two compulsory 'risk-sharing' medical insurance schemes which could free up $15 billion of public money now spent on in-patient services.
Some of these savings could be redirected to expand primary care to benefit half the population, allowing for up to an extra 15 million visits a year to general outpatient clinics. The remaining resources could be used to pay insurance premiums for the underprivileged.
The Harvard report recommended a mandatory insurance scheme where employees and employers contribute a combined total of three per cent of respective wages. Meanwhile, the poor would continue to enjoy free or very cheap medical services, with the Government paying insurance premiums for the neediest members of society.
Same service Democratic Party legislator Law Chi-kwong agreed with Professor Hsiao that health costs should be shared by the public. He believes a central health insurance would allow a more appropriate allocation of resources.
'No matter if the insured are poor or rich, they would receive the same quality service,' Mr Law said.