NHI Act to usher in better healthcare for all - 19 May 2024

Department of Health 2024/05/19 - 22:00



Following the signing of the National Health Insurance (NHI) Bill into law by President Cyril Ramaphosa on Wednesday, 15 May 2024, the realisation of improved healthcare for all South Africans regardless of their social and economic circumstances is not far from reach. 

Currently, over 80% of the country's population relies on the public health sector for healthcare services while the private sector only serves a small portion, resulting in the overburdening of the public sector and lack of equity when it comes to access to better healthcare.

The  assenting to the National Health Insurance Act sets a foundation for ending an unequal health system by ensuring a collaboration that will see both the public and private sector compliment and reinforce each other for the benefit of all people.  

President Ramaphosa said that currently the provision of healthcare in South Africa is unequal, unsustainable and unacceptable, necessitating the need to put in place a system that ensures equitable access to healthcare such as the NHI. 

 

"The public sector serves a large majority of the population, but faces budget constraints. The private sector serves a fraction of society at a far higher cost without a proportional improvement in health outcomes. 

"Addressing this imbalance requires a radical reimagining of resource allocation and a steadfast commitment to universal healthcare, a commitment we made to the United Nations," said President Ramaphosa. 

Following the signing of the Bill, Minister of Health Dr Joe Phaahla  said that government will establish systems and put in place necessary governance structures to implement the NHI based on the primary health care approach. He once again gave an assurance that this will be done in a phased approach, with key milestones in each phase. 

The integration of the healthcare system will lead to a health system where resources are distributed fairly, promoting equitable access to care and improving the effectiveness of health care provision by requiring all health facilities to achieve minimum quality health standards and be accredited. 

Once put into effect, government will buy health care services using the NHI fund for all South Africans from health care providers in the public sector and private sector. This means that when one is feeling unwell, you will be able to go to your nearest General Practitioner or clinic of your choice that has a contract with NHI and not worry about the cost of care.

Unlike the NHS in the UK which is a system, the NHI is a funding model. The current 10 Budget votes on Health will remain and run parallel to the NHI. This means there will be no risk to the complimentary services as the NHI will only target those items gazetted in the NHI package of services. Also, that arrangement means the NHI will grow progressively as the funding stabilizes and gains in confidence. Now that the Bill has been signed into law, other processes will kick in that will see the NHI rollout out at the end of 2028.

MEC for Health and Wellness, Nomantu Nkomo-Ralehoko, who attended the signing ceremony at the Union Buildings, welcomed this as a bold move that will benefit generations to come. "This is what the Freedom Charter promised and it is in line with the Constitutional imperative of ensuring universal health coverage for all."


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