Indonesian Political, Business & Finance News

Health care prepayment system to take off soon

Health care prepayment system to take off soon

DEPOK, West Java (JP): The Indonesian prepayment system in health care and insurance has bright prospects despite the slow progress it has made since its inception in 1980, an expert says.

Dean of the University of Indonesia's School of Community Health, Ascobat Gani, said in a seminar here Thursday that not many people are interested in health insurance.

Quoting data from the Ministry of Health, Ascobat said that only about 31 million, or 16 percent, of 195 million Indonesians use the prepayment system for their health care.

Ascobat made the remarks in a seminar about the Capitation Payment System.

Of the 31 million people who use the prepayment system, he said, 15 million are with the state-owned insurance company PT Askes, one million with PT Jamsosek, one million with private health insurance companies and 14 million with community financing institutions.

Also addressing the seminar were chairman of the Indonesian Medical Association Azrul Azwar and operational director of PT Askes Indonesia Sulastomo.

He said that low income levels in Indonesia are largely to blame for slow progress towards the prepayment system.

"The demand for the prepayment system will increase with the improvement of people's income, in the future. It should replace the direct payment system, which still dominates health care finance today," Ascobat said.

He pointed out that Indonesia's per capita income now is US$919 and is expected to rise to more than $1,000 by the year 2000.

"Along with the improvement of their income, people will demand better health facilities and services," Ascobat said. (31)

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