âEven if the most economical model were to be applied, the figure would still equate to a total of R197 billion; a number close to South Africa's entire personal income tax contributions,â she says. Discover the difference between the private and public hospital systems. Hospital stays for elective or non-urgent treatments can usually be offered through either a public or private hospital. The public healthcare system is, however, well on its way to being reformed as a real increase in funding for public hospitals has taken place.
Government spending on health care comprises less than half of total health expenditure even though the public system serves more than 80% of the population (i.e. Services may be provided on an outpatient basis or require admission. Finally, it has been argued that a major difference between public and private hospitals is that public hospitals tend to operate in settings with “soft budget constraints” [ 22, 40 ]. They are funded mainly by private health insurance and out-of-pocket payments by patients but may also attract some government funding. âThe past 15 years have shown how quickly a reasonably well-functioning health infrastructure can be run down and how expensive it is to build up again,â stated Dr Mamphela Ramphele, a former UCT vice-chancellor and former managing director of The World Bank, in a report urging the public and private sectors to join ranks to deliver better care. It is being reformed in terms of strategy, infrastructure and service delivery.
The public sector covers 68% of people who do not use any private care at all, spending about R1900 per person.
Healthcare varies from the most basic primary healthcare, offered free by the state, to highly specialised technical health services available in the both the public healthcare and private healthcare sector. The Department of Health has an overall responsibility for healthcare in the country, with a specific responsibility for public healthcare.
However, the standard of care in the public sector has been steadily deteriorating. âAn integrated pool of funds is the only way to ensure that all the available human resources are used more effectively and efficiently. A private patient is someone who chooses to use hospital insurance to help cover the cost of hospital treatment. Basically, South Africans that live in rural areas, who are earning a lower income are highly dependent on the public healthcare system. âSouth Africa has had difficulty post 1994 in grappling with the HIV epidemic â that was a real curveball,â says Professor Helen Schneider, chief researcher at the University of Cape Townâs (UCT) Centre for Infectious Diseases Epidemiology and Research. Another 16% of the population rely on the public sector for hospital care but use the private sector for primary care, paying out of their own pockets, with total spending about R2500 per person.
It is this stark publicâprivate divide that the South African Government hopes its proposed National Health Insurance (NHI) scheme will deal with by providing universal access to health care âbased on need rather than ability to payâ. This number will soon rise again as a total of R157 billion of the 2015 South African budget was allocated to the Department of Health. Their state of health is questionable in comparison to the racially mixed segment of urban South Africans with adequate access to private healthcare facilities, or relatively higher quality public health care facilities. As one participant said, They were also happy there were no costs to use public hospitals. To address some of the resource and service delivery problems facing the public healthcare sector, partnerships between the public and private healthcare sectors are being forged.
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