Published On: Tue, Jan 15th, 2013

Civil servants and government reach agreement on basic medical insurance

WILLEMSTAD – The government and the civil service unions agreed that the government honors the agreements made in the Social Statute with the introduction of the basic medical insurance (bvz). This is mentioned in an agreement which the government will sign this afternoon with the four government unions Abvo, STrAF, NAPB and SAP, said Abvo-chairman Wendy Calmes. The Social Statute regulates the transition of the personnel from the former country the Netherlands Antilles and the former Island-Territory Curaçao to the new country Curaçao. According to this regulation, civil servants and equal servants will not be worse off as long as the Social Statute remains in force, namely until June 2015. The agreement reached in an extraordinary meeting last Friday between government and union representatives means, among other things, the civil servants will not fall under the bvz.

Calmes also pointed out that even if the regulation is no longer in force mid 2015 the government cannot simply place the civil servants under the bvz. “The government is to discuss this with us in the Central Organized Deliberation in Civil Service Affairs (CGOA). Within this platform we must attempt to reach agreement. Simply imposing anything is out of the question.”

A point of discussion last Friday was whether government pensioners, who resort under National Health Service FZOG, will also fall under the Social Statute. According to Calmes, the unions and the government have a different opinion on this matter. It was agreed to come up with a solution in three months for retired civil servants falling under the FZOG.

The government intends to introduce the bvz on February 1st. The basic medical insurance is obligatory for 128,000 Curaçao residents. Furthermore, residents can take out a voluntary supplemental insurance. Residents, who already have a similar package on the introduction date of the basic medical insurance, are excluded from the bvz.

The premium is 12 percent on the gross income, of which 9 percent for the employers and 3 percent for the employees.

The self-employed and pensioners will pay 12 percent. According to the budget of 2013, there is also a nominal premium of 82 guilders for insured persons with an income exceeding 1000 guilders per month, on which basis a guarantee card will be issued. They are also to pay 1 guilder for each prescription.

The intended purpose of the basic medical insurance is to control the medical costs and an on time and custom based health care service. The difference between BVZ, SVB and FZOG insured disappears with the introduction of the basic medical insurance.

The draft national regulation includes a Fund Basic Medical Insurance. All costs connected with the medical care of insured are for the account of this fund. In conformity with the actuarial prognosis, the fund is solvable in the middle-long term (up to and including the year 2022). In the long term (after 2022) and with unchanged policy, the cover plan is not solvable from a financial-economic point of view. Additional cost-control measures are necessary in the first ten years to continue the desired medical care in a 20-year period.

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