Doctor - induced demand
The South African Medical Association (SAMA) has raised concerns about certain aspects of the provisional report of the Health Market Inquiry (HMI) into the private health sector in South Africa, released by the Competition Commission earlier this week. The report took almost four years to complete and given the amount of time, at first review,is somewhat disappointing in its overall analysis.
The main report is several hundred pages long and will be reviewed thoroughly in due course by the Association. However, SAMA chairperson, Dr Mzukisi Grootboom, says that of the recommendations published by the HMI, the association is particularly concerned about the allegations that doctors increase demand of unnecessary services, including increased admissions to hospitals.
“The HMI reached this conclusion after analysing claims data. We are of the considered view that the methods used by the HMI were not robust enough to conclude that many admissions are unexplained and thus constitute a doctor-induced moral hazard,” Dr Grootboom says.
He says in 2017, the Medical Research Council presented to Parliament the top ten diseases that kill South Africans. These included HIV and AIDS, cerebrovascular disease, lower respiratory tract infections, ischaemic heart disease, tuberculosis, diabetes mellitus, hypertension, interpersonal violence, other trauma related injuries, liver disease and diarrhoeal illnesses. In 2015, Statistics South Africa reported cancer to be the fifth cause of death in the country.
“Typically the private sector uses the Prescribed Minimum Benefit Chronic Conditions List (PMB CDL list) to define chronic conditions. The PMB CDL list only includes three conditions which kill South Africans. The HMI can therefore not conclude that there are unexplained admission after adjusting only for chronic diseases and age. SAMA believes the increase in admission can be explained by high prevalence of injuries, acute infections, cerebrovascular accidents, cancer, tuberculosis, and substance abuse, amongst other factors,” says Dr Grootboom.