The Czech Republic’s public health insurance system is facing a significant financial hurdle this year, with a projected deficit of 11 billion crowns (approximately $480 million). This shortfall comes despite managing a total budget of 502.6 billion crowns, highlighting the growing strain on the country’s healthcare finances.
In response to this crisis, the Ministry of Health has proposed a controversial solution. They plan to offset this year’s deficit using projected revenues from 2025, estimated at 529.7 billion crowns. However, this approach leaves only 5 billion crowns available for increasing healthcare reimbursements, a figure that has raised concerns among healthcare providers.
The ministry’s proposal to increase reimbursements by just 3.3% has met with significant opposition. General practitioners and outpatient specialists are planning to close their clinics in protest at the end of October, while smaller hospitals are considering appealing to the Constitutional Court. The ministry defends its position, citing an April government resolution that mandates a balanced budget for the public health insurance system in 2025.
Adding to the complexity, 3 billion crowns of this year’s deficit stems from an agreement with protesting hospital doctors to increase their salaries. This represents a mandatory expense that will continue into 2025 and beyond, affecting not just the largest insurer, VZP, but all insurance companies.
The ministry’s reimbursement decree, set to be published at the end of October, outlines varying increases across different healthcare sectors. The highest increase of 11.5% is allocated to specialized medicines for serious illnesses, while physical therapy and outpatient specialists will see increases of 5.4% and 4.6% respectively. General practitioners, who are among those protesting, will receive a 2.8% increase.