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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> 97<br />

example, generic drug prices were used for HDG calculation <strong>in</strong>stead of actual<br />

cost data from hospitals or from the <strong>in</strong>troduction of new, more cost-effective<br />

technologies.<br />

The Information Centre for <strong>Health</strong> Care (Gyogy<strong>in</strong>fók) launched a pilot<br />

project to collect cost data <strong>in</strong> hospitals for the adaptation of the United States<br />

DRG system <strong>in</strong> 1986 (1987/1). The first version of HDGs was developed on<br />

the basis of cost data from 500 000 cases of 28 participat<strong>in</strong>g hospitals, and<br />

was <strong>in</strong>troduced countrywide <strong>in</strong> July 1993 (1993/5). Initially, the base rate was<br />

unique to each hospital. It was calculated for each <strong>in</strong>stitution on the basis of<br />

its previous budget and output, and the differences were gradually decreased<br />

until the national average was reached <strong>in</strong> 1998 (1995/9, 1996/12). Government<br />

Decree No. 13/1998 (I. 30.) Korm. <strong>in</strong>troduced the uniform national base rate<br />

<strong>in</strong> March 1998, with the provision that it can be recalculated if output exceeds<br />

budget reserves (1998/1). For a short period of time, the government used a<br />

supplementary fixed element <strong>in</strong> hospital f<strong>in</strong>anc<strong>in</strong>g, unrelated to hospital<br />

performance, which was eventually abolished <strong>in</strong> 1998 (1996/12, 1998/26).<br />

These gradual changes allowed hospitals to phase <strong>in</strong> the new system of<br />

payment <strong>in</strong> a more acceptable and less disruptive way. It should be noted,<br />

however, that the transitional system of <strong>in</strong>dividual base rates (unique to each<br />

hospital), and of reta<strong>in</strong><strong>in</strong>g parts of the historical budget put the most efficient<br />

hospitals at a disadvantage. For <strong>in</strong>stance, <strong>in</strong> the case of the HDG payment<br />

system, <strong>in</strong>dividual base rates were calculated on the basis of the previous<br />

historical budget of each hospital, which was divided by the HDG po<strong>in</strong>ts earned<br />

by the hospital <strong>in</strong> a pre-<strong>in</strong>troductory period. This means that those hospitals<br />

that produced the most output (<strong>in</strong> terms of HDG cost weights) from the lowest<br />

annual budget had the lowest <strong>in</strong>dividual base rate.<br />

The <strong>in</strong>troduction of the output volume limitation for hospitals possibly led<br />

hospital management to <strong>in</strong>troduce measures that further decreased hospital<br />

costs and therefore limited provision of services, thus lengthen<strong>in</strong>g wait<strong>in</strong>g<br />

lists. In 2009, the M<strong>in</strong>istry of <strong>Health</strong> 3 proposed amendments to improve the<br />

flexibility of capacity distribution between <strong>in</strong>patient and outpatient facilities,<br />

and between <strong>in</strong>patient curative care and <strong>in</strong>patient long-term care (2009/5). The<br />

number of patients whose treatment will be covered will be redistributed each<br />

year on the basis of proposals by the HIF. If some allocated capacities are not<br />

utilized, they can be transferred to another <strong>in</strong>stitution.<br />

3 As of 2010 called the State Secretariat for <strong>Health</strong>care with<strong>in</strong> the M<strong>in</strong>istry of National Resources.

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