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HEALTH ACCOUNTS -2000- FOR PORTUGAL

HEALTH ACCOUNTS -2000-

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HEALTH ACCOUNTS -2000-. FOR PORTUGAL. Health Accounts for Portugal - 2000. Project “Health Accounts for Portugal” was carried out for the year 2000 to answer two important needs: To meet the OECD requirements; To offer to policy-makers an important tool for basing analysis and decision. - PowerPoint PPT Presentation

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HEALTH ACCOUNTS-2000-

FOR PORTUGAL

Health Accounts for Portugal - 2000

Project “Health Accounts for Portugal” was carried out for the year 2000 to answer two important needs:

To meet the OECD requirements;

To offer to policy-makers an important tool for basing analysis and decision.

Health Accounts for Portugal - 2000

Decision was taken to create a Working Group involving the two bodies of the Ministry of Health, the National Statistical Institute and one unit from the Ministry of Finance.

On a first stage it was decided to compile a Health Account for the year 2000 on a bottom-up approach, according to the SHA Manual of OECD, in particular:

Table 2 (Current expenditure on health by function of care and provider industry) Table 3 (Current expenditure on health by provider industry and source of funding)

Table 4 (Current expenditure on health by function of care and source of funding)

Table 5 (Total expenditure on health including health-related functions)

Health Accounts for Portugal - 2000

Changes considered in the classification breakdown presented on the tables due to domestic needs:

HF1.1 (General Government, excluding social security funds) is shown differently from what is proposed in SHA:

HF1.1.1 – National Health Service;HF1.1.2 – Public health subsystems;HF1.1.3 – Other units.

Also in HF2.1 (Private social insurance), private health subsystems are shown separately.

Moreover HP3 is presented in an aggregated way.

Health Accounts for Portugal - 2000

The work was based on the basic definition in SHA (Chapter

5) on the measurement of expenditure on health care.

Total Expenditure on health measures the final use of resident units of health care goods and services plus gross capital formation in health care provider industries (institutions where health care is the predominant activity).

Therefore the methodology used for the compilation is

based on the identity :

Expenditure in goods and services of health care(=)

Goods and services produced / available to be used

Health Accounts for Portugal - 2000

Main Stages of the compilation process Project:Set up of the universe: creation of a data set starting with the classification of the units as providers and financers;Estimation of the output for the health providers by provider and by function of health care- transitional matrix;Estimation of the Expenditure by financer, by provider and by function of health care-transitional table;Conciliation of the data starting with table 3 to establish the level of Output/expenditure;Compilation of the tables.

Health Accounts for Portugal - 2000

Analysis was made to units one by one. Health Output on the providers side was measured according to the following groups:

Market providers:Market providers, except HP4

Providers HP4.2 to HP4.9

Health Output = Σ Sales of goods and Services of Health

Health Output (=)

Value of the goods under HP4.2 to HP4.9 to be included in the actual final consumption (for sale at the retailers)

Health Accounts for Portugal - 2000

Market providers:Providers HP4.1

Providers organised as self-employed and own-account workers:

Health Output (=)

Value of medicine sold in the pharmacies (excluding hospital pharmacies)

Health Output = volume of “additional employment” X average income

Health Accounts for Portugal - 2000

Non-Market providers:

Health Output (=)

Compensations of employees(+)

Intermediate consumption(+)

Consumption of fixed capital(+)

Other taxes on production(-)

Other subsidies on production(-)

Non-health sales

Health Accounts for Portugal - 2000

Occupational medical offices:

Providers HP6.4 (Other private insurance):

Health Output( =)

Average cost each type of medical care(X)

Number of medical cases of each type

Output of Health Insurance (service charge of health insurance)(=)

Total actual premiums earned(+)

Total premium suplements(-)

Total claims due(-)

Change in actuarial reserves and reserves for with-profits insurance

Health Accounts for Portugal - 2000

Health expenditure by financer considered the following transactions related to health made by each financer:

Current transfers (D75);Tax deductions due to Health expenditure (negative D51 by households); Social contributions (D61);Social benefits other than social transfers in kind (D62);Social transfers in kind (D63 = P3 for the non-market financers);Final consumption expenditure for households.

Health Accounts for Portugal - 2000

Process of conciliation of the tables (use of transitional tables):

PROVIDERSICHA-HP

FINANCERSICHA-HF

FUNCTIONS OF HEALTH CARE

ICHA-HC

HEALTH-RELATED FUNCTIONSICHA-HC.R

Table 3

Ta

ble

2

Ta

ble

5

Table 4

Table 3 Table 2 Table 4 Table 5

Health Accounts for Portugal - 2000

Limitations:

It was not possible to breakdown HP3 into a second level for consistency reasons of the data. Moreover the distortions increase in the conciliating process between the expenditure and production side.Homes for elderly care were excluded from the table due to the unavailability of data to extract the health care expenditure in these homes.Difficult allocation of some functions of health care.Deduction of the intermediate production for services rendered by own-account workers to providers that belong to NPI.Recording of expenditure of public and/or private health subsystems that are engaged both in financing health expenditure and also acting as providers.

ANALISYS OF THE RESULTS

Health expenditure by financing source;Health expenditure by function;Current health expenditure by mode of production;Current health expenditure by provider;Current health expenditure by provider and financing agent;Current health expenditure by function and financing agent.

Health Accounts for Portugal - 2000

Health expenditure by financing source (Total health expenditure = 100) Portugal, 2000

Public health subsystems

5,7%Other public institutions

2,6%

Private health subsystems

1,6%

Other private insurance

1,4%

Social security funds0,1%

Private household out-of-pocket payments

30,1%

Non-profit organisations (other

than social ins.)0,5%

Corporations (other than health insurance)

2,2%

National health service55,7%

Health Accounts for Portugal - 2000

Health expenditure by function (Total health

expenditure = 100 Portugal, 2000)

Prevention and public health services

1,6%Therap. appliances and other med.

durables2,1%

Pharmaceut. and other medical non-durables

23,2%

Ancillary services to health care

10,2%

Long-term nursing care0,2%

Curative and rehabilitative care

56,7%

Gross capital formation

4,3%

Health administration and health insurance

1,6%

Health Accounts for Portugal - 2000

Current health expenditure by mode of production (Total current health expenditure = 100) Portugal, 2000

Home care1,7%

Ancillary services to health care

10,7%

In-patient care21,2%

Services of day-care3,6%

Out-patient care32,9%

Prevention and public health services

1,7%Medical goods

dispensed to out-patients26,4%

Health administration and health insurance

1,7%

Health Accounts for Portugal - 2000

Current health expenditure by provider (Total current health expenditure = 100) Portugal, 2000

Retail sale and other providers

of medical goods26,4%

Provision and administration of

public health programmes

0,0%

Hospitals34,5%

Nursing and residential care

facilities0,3%

Providers of ambulatory health care

35,8%

Other industries (rest of the economy)

1,1%

General health administration and insurance

1,7%

Rest of the w orld0,2%

Health Accounts for Portugal - 2000

Current health expenditure by provider and financing agent

►Spending structure of financing agents

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

National healthservice

Public healthsubsystems

Other publicinstitutions

Social securityfunds

Private healthsubsystems

Other privateinsurance

Privatehousehold

out-of-pocketpayments

Non-profitorganisations

Corporations

Hospitals Nursing and residential care facilitiesProviders of ambulatory health care Dispensing chemistsAll other sales of medical goods Provision and administration of public health programmesGeneral health administration and insurance Other industries (rest of the economy)Rest of the w orld

Health Accounts for Portugal - 2000

Current health expenditure by function and financing agent

►Functional structure of spending by financing agent

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

National healthservice

Public healthsubsystems

Other publicinstitutions

Social securityfunds

Private healthsubsystems

Other privateinsurance

Privatehousehold out-

of-pocketpayments

Non-profitorganisations

Corporations

In-patient services Day care servicesOut-patient services Home care servicesAncillary services to health care Pharmaceuticals and other medical non-durablesTherapeutic appliances and other medical durables Prevention and public health servicesHealth administration and health insurance

Health Accounts for Portugal - 2000

Current health expenditure by function and financing agent ►How the different functions are financed

0%

20%

40%

60%

80%

100%

In-patientservices

Day care services Out-patientservices

Home careservices

Ancillary servicesto health care

P harmaceuticalsand other medical

non-durables

Therapeuticappliances andother medical

durables

P revention andpublic health

services

Healthadministration

and healthinsurance

National health service Public health subsystems Other public institutions

Social security funds Private health subsystems Other private insurance

Private household out-of-pocket payments Non-profit organisations Corporations

Health Accounts for Portugal - 2000

Main ratios:

Total expenditure on health as share of GDP: 9.0%

Share of current expenditure in total expenditure: 95.7%

Share of Gross capital formation in total expenditure: 4.3%

Public share in total expenditure on health: 64.2%

Private share in total expenditure on health: 35.8%

Total public expenditure on health, per capita: € 649.18

Total Private expenditure on health, per capita: € 362.40

Total expenditure on health, per capita: € 1011.58

Health Accounts for Portugal - 2000

Health Accounts for Portugal - 2000

FUTURE WORK:For the next stages, a working plan is undergoing

aiming:

Compilation of health accounts for the years 2001, 2002 and 2003;Investigation of methodologies and sources to make improvements in the missing information and classifications;Compilation of table 10 (Total employment in health care industries);Compilation of table 8 (selected price indices for health care)

We are still in a phase of defining schedules, priorities and assessment of the eventual needs of more resources (human resources, etc).