SA's top private hospital groups need more oversight, commission argues

The Competition Commission has proposed that a supply-side health regulator be introduced to better regulate the private healthcare sector.

On Monday, the commission released its final findings and recommendations on its healthcare market inquiry.

Barriers to effective competition in the private healthcare sector mean that Netcare, Mediclinic and Life Healthcare control 80% of the private healthcare market.

RELATED: Six tips to help you choose the right medical aid plan

The commission has found that anti-competitive practices have fuelled increasingly unaffordable healthcare costs, reports EWN's Nthakoana Ngatane.

According to the panel, the regulatory environment is almost non-existent, which is why the three main players in this game have had the power to do as they please.

Nthakoana Ngatane, EWN reporter

Findings also revealed that medical scheme administrators are making huge profits by over-treating patients and over-charging for procedures.

According to the commission, some private sector procedures such as a cesarian section are 300% more expensive in South Africa than in other countries.

It's for these reasons that the commission belives that changes should be made to the regulatory environment.

The three groups have been ensuring that prices go up so that they benefit and so that the consumer ends up paying a lot of money - sometimes for procedures that are even unnecessary.

Nthakoana Ngatane, EWN reporter

Hospitals want practitioners to refer patients so that they can make money out of them.

Nthakoana Ngatane, EWN reporter

Listen to the full EWN update:


This article first appeared on CapeTalk : SA's top private hospital groups need more oversight, commission argues


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