The Knesset Finance Committee approved the capitation formula in which the
health funds and public hospitals settle their financial compensation for
The formula, approved Thursday, is responsible for making
possible the financial sustainability of medical institutions and is meant to
balance the needs of the four public health funds with those of the
Capitation reduces incentives for medical centers to keep
patients hospitalized unnecessarily, as well as the power of the insurers over
policy-holders who need hospital care. It also forces the medical centers to
bring their prices down.
Finance Committee chairman MK Nissan Slomiansky
(Bayit Yehudi) said all sides were heard. “Our aim was to reach the most
balanced formula so that no side would be the loser,” he said.
Treasury’s deputy budget director Moshe Bar Siman-Tov said: “We didn’t want to
hurt anyone. The health and finance ministers still have the option of making
changes in a certain health fund or hospital in a specific city... although this
power is limited to parameters such as the number of beds the hospital
The formula stipulates a ceiling for the health funds’ purchase of
First, the amount of financial activity by a health
fund in the hospital is checked, based on its full cost; then, the actual amount
of the health fund’s payment to hospitals is calculated.
In 2013, health
funds will pay full price for 95 percent of the services they purchased in 2012.
For services purchased in 2013 constituting 95-102% of those purchased in 2012,
the health fund will receive a 30% discount in payments to the hospital. Between
102% and 113%, there will be a 33% discount. The maximum a health fund will pay
If the health fund does not purchase a minimum of services (95%
of the actual purchase of services in 2012), it will have to pay a fine to the
hospital to enable it to reach the 2012 rate. The figures will be calculated
taking the number of each health fund’s members into consideration, the two
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