PAYING FOR ILLNESS.

Hawera Star, Volume XLIX, 13 August 1929, Page 9

PAYING FOR ILLNESS.

INSTALMENT SCHEME. DOCTOR ESTIMATES COST. CHICAGO, June 23. Announcement of a plan for financing the expense of being sick in such a way that the family of average means may pay its weekly or monthly instalments was made by the Chicago Medical Society, through Dr. James H. Hutton, its president-elect for 1939-31.

The arrangement is called “the modern medical budget plan.” Its purpose, the announcement says, is to finance worthy sick persons on a cost basis, making it possible for the patients to pay in weekly or monthly instalments, commensurate with their means.

“The new plan,” Dr. Hutton said, “simply adapts to the isick the modern method of financing employed by the automobile, radio and other industries. It enables the family of moderate means to arrange for medical or hospital care on a time-payment plan.” Under the new plan, the patient calls the doctor of his choice. The doctor estimates the cost of his illness, then fills out a card which serves as authorisation to finance' a loan to the patient at 6 per cent simple interest for the physician’s individual account.

When the loan is made, the doctor is mailed a cheque for 35 per cent of Hie total bill. The balance is paid him by the finance corporation in instalments. Dr. Hutton said the patient is completely financed, and the physician ultimately receives 86.37 per cent of his total fee. The finance organisation retains 13.63 as the doctor's contribution to the plan, and that creates a special fund against which all bad loans are charged. If the loan proves uncollectaible. it is explained, the physician receives only the 35 per cent originally advanced him. The scheme is limited to members of the' Medical Society and to recognised hospitals.