Multi-insurer system out of favor with Hungarian gov't

The Free Democrat proposal for a multi-player health insurance system is no longer being discussed by the coalition parties, Népszabadság reports. It has not formally been eliminated, but the two parties are only discussing the compromise put forward by Prime Minister Ferenc Gyurcsány on Thursday and a proposal by the State Reform Commission, according to the newspaper.

Under Gyurcsány's compromise, seven regional insurance companies would operate, each with a majority state stake. The insurers would not be able to select their clients and the social insurance contributions system would not change. Insurers would be free to decide from which doctors and health institutes and at what price they would buy health care services for their clients.

The State Reform Commission proposes that five nationwide insurance companies operate, with the state having a majority stake in each. The insurers would vie for customers. Those insured would be automatically listed with one or other insurer, but would have the option of signing contracts with another company within two months. This model would not change the system of social insurance contributions either. Insurers would decide for themselves with whom and at what price to sign health care service contracts.

The above story is just one of more than two dozen published today by Hungary Around the Clock, the most comprehensive source of daily English-language news about Hungary. For a free trial of HATC, click here. Hungarian news sources include Népszabadság; Magyar Hírlap; Világgazdaság; Napi Gazdaság; Magyar Nemzet; Népszava; Kossuth Rádió news and Hungarian television's nightly news broadcast.

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