PAYMENT OF DOCTORS

Press, Volume LXXX, Issue 24345, 25 August 1944, Page 4

PAYMENT OF DOCTORS

FEE FOR SERVICE SYSTEM

SUPPORT OF B.M.A. IN OTAGO

(P.A.) DUNEDIN, August 24. It was announced to-day by the president of the Otago Division of the New Zealand branch of the British Medical Association (Dr. Clark Hanan) that after a discussion on the subject of health insurance the division, at a recent meeting, had decided to support the practice of the fee for service system. Dr. Hanan explained that, in effect, this decision meant direct acceptance by a doctor in full settlement from the Department of Health of a fee for medical service performed. At present there were four methods of obtaining payment for services rendered. These were: (1) the operation of a system on a salary basis, which was carried out in isolated districts; (2) the capitation method, by which the doctor was remunerated with a fixed sum a year a person; (3) the socalled fee for service method, by which a doctor claimed from the Health Department the sum of 7s 6d for each item of service performed; (4) the refund system, under which the doctor’s account was rendered to his patient, who was then entitled to claim a refund of 7s 6d from the Health Department. “The division has also decided to support the holding of a referendum of the whole profession, in order to obtain the opinion of members serving overseas. For this purpose.” Dr. Hanan added, “a suitable questionnaire was being drawn up for consideration by the New Zealand branch of the British Medical Association.”