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

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32<br />

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

the Hungarian State Railways, has its own comprehensive system of health<br />

service delivery with<strong>in</strong> which railway workers and their dependants are given<br />

priority (1994/3). The number of providers and their capacities, however, were<br />

significantly reduced <strong>in</strong> 2007 (2007/4). The M<strong>in</strong>istry of Defence has its own<br />

<strong>in</strong>patient and outpatient services, which are open to the general public, although<br />

special rules give priority to its employees. Accord<strong>in</strong>g to the general pr<strong>in</strong>ciples<br />

applied <strong>in</strong> health care f<strong>in</strong>anc<strong>in</strong>g, both m<strong>in</strong>istries cover the capital costs of<br />

services, whereas recurrent costs are f<strong>in</strong>anced through the HIF. The M<strong>in</strong>istry<br />

of Public Adm<strong>in</strong>istration and Justice provides health services to prisoners; this<br />

is entirely separate from the ma<strong>in</strong> system of provision.<br />

F<strong>in</strong>ally, the M<strong>in</strong>istry of the Interior deals with issues for local governments,<br />

which are the owners of most primary and secondary care facilities. Among<br />

other duties, the M<strong>in</strong>istry adm<strong>in</strong>isters the allocation of capital grants for health<br />

care equipment and build<strong>in</strong>gs to local governments (1992/9).<br />

2.3.7 HIF and the NHIFA<br />

The HIF is the most important f<strong>in</strong>anc<strong>in</strong>g agent for the recurrent costs of health<br />

services, and f<strong>in</strong>ances certa<strong>in</strong> cash benefits, such as sick pay. The HIF is<br />

separate from the government budget <strong>in</strong> so far as any surplus it generates cannot<br />

be used by the government for other purposes. The government is obliged to<br />

cover any shortfall <strong>in</strong> the HIF (1997/8), and shortfalls <strong>in</strong> the HIF appear <strong>in</strong> the<br />

government budget deficit. The HIF is divided <strong>in</strong>to more than 30 sub-budgets<br />

accord<strong>in</strong>g to type of service (e.g. acute <strong>in</strong>patient care, chronic <strong>in</strong>patient care<br />

and outpatient specialist care). Most of these sub-budgets are capped, and the<br />

provider payment mechanisms help to ensure that the caps are, <strong>in</strong> fact, observed.<br />

The NHIFA is a government office and thus under the direct control of<br />

the state. It adm<strong>in</strong>isters the HIF and is the sole payer <strong>in</strong> the Hungarian health<br />

<strong>in</strong>surance system. It has no discretion over revenue collection or budget sett<strong>in</strong>g,<br />

however, and has only very limited discretion over purchas<strong>in</strong>g decisions (see<br />

sections 2.3.2 and 3.4.3). The NHIFA has territorial units and subunits at the<br />

regional and county levels, respectively. These units manage adm<strong>in</strong>istrative<br />

work and other tasks delegated by the NHIFA central office, but have no<br />

autonomy <strong>in</strong> contract<strong>in</strong>g and pay<strong>in</strong>g local health providers. Moreover, the<br />

budget of the NHIFA has rema<strong>in</strong>ed centralized s<strong>in</strong>ce its <strong>in</strong>ception.

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