Part of social security could go to health insurance in Latvia

In the future, part of social security contributions to the state budget could be paid into a person's health insurance, Latvian Television reported on June 11.

The tax audit group, which includes both political parties and social partners, has agreed to create a health insurance model similar to that of Estonia. That would mean changing the structure of Social Security contributions. The Minister for Finance points out that it would be possible to implement the system within three years. The Minister for Health also supports the idea.

The health insurance model agreed upon by both the social partners and politicians would change the state's social security minimum contribution structure: payments for pensions and unemployment benefits would still be made, shifting the remainder to the healthcare budget.

Minister of Finance Arvils Ašeradens (New Unity) explained: “Nothing is taken away from pensioners here. Pension insurance remains [..].Also, unemployment insurance, all the other four types of insurance remain, but they are transferred to the state budget, [..] and insurance money would then form the basis for the national health insurance system."

The state is expected to insure children and pensioners, as well as groups of the society, which cannot insure themselves.

How this system would be put in practice, the working group has not yet developed the details.

The Finance Minister pointed out that, at the moment, to understand how to proceed further, health experts should make their move. The transformation of the system should take place in parallel with the introduction of a uniform e-health system that is currently lacking in Latvia. It is not clear how such a system could rapidly solve the years of money shortages in the sector.

Minister for Health Līga Meņģelsone (delegated by the United List) stated that Estonia's example was very good. “It has demonstrated that it works very well for both patients and the health system as a whole,” the Minister said.

 

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