DPHK's response to the consultation document on health care reform

13th March 2008

In a press conference today, Dr. Yeung Sum, DPHK spokesperson for health
care reform, introduced DP's proposal in response to the consultation
document on health care reform published by the Food and Health Bureau.

DP's proposal includes the following elements:

1. The introduction of the Social Health Insurance (SHI) plan;

2. Tax revenues designated for public medical services should not be
below 17% of public expenditure;

3. Contributions of SHI plan:

a) The contribution system should be bipartite, paid by both employers
and employees; There should be an upper limit of the total contribution
amount;

b) A contribution rate of 0.3% to the SHI plan should be introduced at
the initial stage and should be adjusted with reference to the aging
population to an estimated rate of 0.9-1.5% in 10 years' time;

c) For people with no income, contributions should be paid by other
family members with earnings. However, there should be an upper limit
for contributions as such.

d) For people with low income, contributions should be paid by
government revenue;

e) People can obtain better service through private insurance or saving;

f) Central mechanism should be set up to regulate the SHI plan;

g) Service fee in the future should be approximate to the current level
in the public health care system.

For details, please read DPHK's Consultation Paper for Healthcare
Financing Reform:

http://www.dphk.org/2003/outspoken/medical/medical_eng.pdf

Dr.YEUNG Sum
Spokesperson for Health Care Reform, DPHK

Hon. SIN Chung-Kai
Spokesperson for Economic Services, DPHK

Dr. LI Kin-Yin, Mark
Vice-Spokesperson for Hygiene, DPHK