Health Funds Spends Millions Intransparently

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National Health Insurance Fund continues to operate in the dark without explaining what, how and how much it pays with public money. The last meeting of the Supervisory Board of the institution, it decided to allocate additional 25.2 million levs, with which to cover the overspending of hospitals in the second quarter of 2013. However, neither the cashier told which hospitals are spending more than projected nor indicated how were additional funds to be spent nor whether they are sufficient for the costs incurred over the limit. The only thing that was clear was that money was made available after redistribution of the annual budget for hospital care, which is a little over one billion levs. This should mean that

the millions were taken from planned expenditure

of clinics for the next two quarters. Which in turn is a clear signal that the end of the year will open a huge hole in the budget of NHIF. The institution said that so far it has not had to resort to the reserve for unforeseen and urgent expenditure, which is 269 million levs.

Of the opposite view is the former director of the National Health Insurance Fund and a senior expert at Bulgarian Medical Association, Dr. Dimitar Petrov. He points out that this year the Fund has accumulated a huge over-expenditure of 103 million levs on medications, which has been carefully hidden from the manager of the fund, Dr. Plamen Tsekov. According to Petrov the over-limit hospital activity for the second quarter amounted to at least 40 million levs and if new members of the Supervisory Board of the fund are not urgently elected, the money for the medical care and medications will have to be stopped. According to him, the new board must start dealing with the hidden deficit of the fund and find funds to cover it. The Medical Association once again demanded the resignation of Dr. tsekov for his incompetent and opaque governance. Representatives of professional organization believe that the

health insurance fund has turned into a restrictive

and politically dependent institution that does not regulate the movement of country’s money on insurance.

In turn Plamen Tsekov claims that fund is not facing bankruptcy and the overspending on medications is actually only 30 million levs in the segment of ontological treatment pen. According to him, the budget of the institution is stable and there are no excesses almost anywhere except in payments for hospital care. Mr. Tsekov said the demands for his resignation have been in the agenda back in January 2013 as inspired by the Medical Association and certain political forces. He argues that none of the arguments that seek his removal from office are justified and he added he could prove this with facts and figures, but apparently only for internal use. The last annual report of NHIF was posted for the distant 2009. Projected budgets of hospitals for 2013 also remained hidden from the public and media attention. Perhaps because they are wrongly planned and need to be corrected almost every month.

The new Chairman of the Parliamentary Health Committee Nigyar Jaffer plans to initiate a hearing with Plamen Tsekov, who will report on the financial situation of the institution. Before the lawmakers he will be responsible for the unpaid debts to contractors and the performance of the Fund’s budget for the past financial year. According to MPs of MRF Tsekov might be removed due to the new rather controversial methodology for hospital financing and imposed limits on options for citizens to consult a specialist.

Absolute favorite to head the NHIF is Dr. R. Todorova, who was director of the institution between 2006 and 2011. She has been pointed out as the best manager of the fund since the beginning of the Transition period, is trusted by the Medical Association and is am acceptable candidate for both the managers of hospitals and the patients’ organizations.

The BANKER

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