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Health Systems in Transition - Hungary - World Health Organization ...

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<strong>Health</strong> systems <strong>in</strong> transition <strong>Hungary</strong> 93<br />

In addition to the ma<strong>in</strong> payment methods, special rules apply to certa<strong>in</strong><br />

services, whose runn<strong>in</strong>g costs are covered from separate sub-budgets of the<br />

HIF. Patient transfers are paid per kilometre plus a fixed fee per patient; home<br />

care is paid per home visit adjusted for the complexity of the case. Expensive<br />

prostheses, implants and some other medical devices (pacemakers etc.) are<br />

sometimes paid for separately, while the rema<strong>in</strong><strong>in</strong>g costs of the <strong>in</strong>tervention are<br />

covered by HDGs. This also applies for some expensive procedures and drugs<br />

(transplantations, extracorporal liver dialysis, oncologic drugs, etc.).<br />

The government <strong>in</strong> power from 1998 to 2002 piloted the CCS, a project<br />

aim<strong>in</strong>g to address the shortcom<strong>in</strong>gs of <strong>in</strong>centives <strong>in</strong> the exist<strong>in</strong>g payment<br />

systems. The concept of the CCS was that health care providers be given the<br />

opportunity to take responsibility for the entire spectrum of care of a population<br />

group (<strong>in</strong>itially up to 200 000 people) (1998/26). These care coord<strong>in</strong>ator<br />

organizations could be hospitals, polycl<strong>in</strong>ics or groups of family doctors and<br />

were assigned a virtual budget by the NHIFA based on the number of people<br />

<strong>in</strong> their catchment area multiplied by a risk-adjusted capitation fee. If the total<br />

cost <strong>in</strong>curred dur<strong>in</strong>g the year was lower than the virtual budget, the difference<br />

was paid to the care coord<strong>in</strong>ators and could be <strong>in</strong>vested <strong>in</strong> improv<strong>in</strong>g services<br />

or used for remuneration purposes. The project was criticized ma<strong>in</strong>ly for lack of<br />

transparency as well as <strong>in</strong>equitable distribution (State Audit Office, 2008a) and<br />

was subsequently abolished <strong>in</strong> December 2008, despite documented successes<br />

dur<strong>in</strong>g its first few years of operation.<br />

Public health services<br />

Public expenditure on public health services was 0.2% of GDP <strong>in</strong> 2008, which<br />

was 2.6% of total health expenditure (OECD, 2010). The central government<br />

and the NHIFA use different types of payment methods to f<strong>in</strong>ance these<br />

services: the NHIFA f<strong>in</strong>ances MCH nurse services through prospective<br />

capitation and fixed payments based on geographical considerations. Of the<br />

total public spend<strong>in</strong>g on public health, the share of NHIFA f<strong>in</strong>ance was 28% <strong>in</strong><br />

2008. The largest share (48% <strong>in</strong> 2008) <strong>in</strong> f<strong>in</strong>anc<strong>in</strong>g public health comes from<br />

the global budget provided by the M<strong>in</strong>istry of National Resources that gives a<br />

global budget to the NPHMOS, which covers services for communicable and<br />

non-communicable diseases (see also section 5.1).<br />

The government spent 24% of total expenditure for public health services<br />

under the <strong>in</strong>tersectoral NPHP (see also sections 5.1 and 2.6) that aims to<br />

coord<strong>in</strong>ate and carry out various prevention and health promotion programmes.<br />

With<strong>in</strong> the NPHP, the M<strong>in</strong>istry of National Resources awarded grants and gave<br />

direct payments for prevention and health promotion activities amount<strong>in</strong>g to

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