FACILITATOR’SNOTESON:

“HealthInsurance:RuralHealthCarein China”

1. Objectives

Thiscasestudyaimstoprovokediscussion aboutthefactorsinfluencing thelikely successof communitypre-paymentschemes.Itpromptsparticipantsto considerhow toaddresssomeoftheproblemsraised.

2. Description

Thecasestudyiswritten asaplay,setinruralareainChina. Theplaybrings two outsiders(onefromheadquarters andavisitorfromtheUS)toaruralvillagethatis holdingavillagemeetingtoconsiderhowtousethefundsgenerated fromthe Cooperative MedicalSystems,andwhetherornottore-vitalisethesystem.Various villagemembers presenttheirviewsonthesematters.Duringthemeetingasick personisbroughtin,andthetwooutsiders volunteer todrivehimforcare.Theyfirst trytofindthelocal‘doctor’(villagehealth worker),butwhenhecannotbefound they traveltoalocalhospital. Duringthecourseofthesejourneys theylearnmoreabout thevillagers’perceptionsandexperiencesoflocalhealthcare.

Thiscasestudymustfirstbereadbyallparticipants. Theninsmallgroupsof4-5 peopletheyshouldcharacterisethe mainproblemsfacedby thevillagersin financing their health care. They should also considerthe sorts of approachesthat be implemented to tackle these problems. A feed-back session should then allow plenarydiscussionofthegroups’analyses,withthefacilitatorfinallydrawingout someof the key issuesthat needto be consideredin relationto pre-payment schemes.

3. Preparationandlinkages

Thiscasestudycanbeusedbeforeorafterabroaderintroduction topre-payment mechanisms. Suchanintroductionshouldcovertheobjectivesofpre-payment systems, key issues in pre-payment scheme design, the key factors likely to influencetheirimpacts,andthebroaderrangeoffactorsinfluencing theirsuccessful implementation. Ifusedbeforesuchasession,participantswouldrequiresome familiaritywithhealthcarefinancingissuesandconcernsingeneral.Ifusedafter suchasession,thecasestudywouldallowparticipants toapplyknowledgealready gained.Overall,itcanusefullyformpartofaseriesofsessions onhealthcare financingtopics.

4. Timingandlogistics

Overall,theexerciseshouldtakearound2hours.

Participants shouldspendtheinitial15-20minutesreadingthecasestudyby themselves,andhighlightingkeyissuestoraiseindiscussion.Theninsmallgroups,

20minutesshouldbespentdevelopingafullsummaryofproblemsidentifiedfrom thecasestudy.Thegroupsshouldspendafinal20minutes thinking abouthowto tackletheseproblems.

Itisimportanttoavoidrepetitionandduplication inthefeed-backsession.One approachistosplitthefeed-backintotwoparts. First, askonegrouptoprovideafull feed-backoftheproblemstheyidentified.Othergroupscanthenbeaskedjusttoadd tothislist,ortoquestionorcontradict theinitialgroup.Second, askonegroup (differentfromthatthatinitiallypresentedproblems)topresentthesolutionsthe groupdiscussed–thenaskothergroupsjusttoquestion andaddtothefirstgroup’s presentation.Overall,thisfeed-backsessionshouldtakearound30-45minutes.

Inthefinal15minutesthefacilitatorshouldwrapupthediscussions byhighlighting thekeypointsraised,emphasizing thepriorityissuesandmakinglinkstoother sessionsonhealthcarefinancingissues.

5. Pointsfordiscussion

Thekeyissuesraisedintheplayinclude:

a)Contextofpoorruralvillagesinalow-incomecountry:

•Greaterlevelsofdiseaseburdenthanurban/morewealthyareas

•Lowerlevelsofhealthcareutilizationthanurban/morewealthyareas

•Verylowlevelsofhouseholdpercapitaincome

•Healthcarecostscanbecatastrophicforhouseholds,i.e.leadtodebtsand impoverishment

b)Roleandlimitsofpre-paymentschemesinpoor,ruralcommunities:

•Bypoolingresourcesamongpeople,supportthecostsofaccessingatleasta basicpackageofpreventivecareforall

•Benefitscoveredlimitedbythetotalrevenuethatcanbegeneratedinthisway

•Householdresourcesneedtobecomplementedbyotherfinancingsources

c)Factorsinfluencingcommunitywillingnesstopaypre-paymentpremia:

•Somepeoplemaypayandneverusehealthcare,sodonotseethebenefitsof paying

•Somepeopleseethebenefitofpayingarelativelysmallamounttogetatleast someprotectionfromtheunexpectedandoftenconsiderable ofseekingcarefor seriousillness

•Somepeopleseethebenefitsoffinancingpreventivecaretodaytoprevent illnesstomorrow

•Perceptionsaboutthereliabilityoftheadministrativearrangementsforthefund

(includingwhowillmakedecisions,andhowdecisionswillbemade)

•Perceptionsof thequalityof careavailablewithandwithouta pre-payment scheme

d)Factorsinfluencinghealthseekingbehaviour(perceivedqualityofcare):

•Availabilityofprovider

•Severityofillness

•Availabilityofequipment

•Priceofcare

•Transportcosts

Therearenoeasyorrightsolutionstomanyoftheseproblems!However,someof thekeyissuesthatwillalwaysbeimportantindeveloping solutionsacrosscontexts are:

•supplementingpre-paymentandothercommunityfinancingschemeswithfunds fromothersourcesassuchschemescannevergenerateenoughresources to coverthefullcostsofacomprehensivepackageofcare(forexample,ensuringa fairshareofavailabletaxresourcesareallocatedtoruralareasgiventheirlevel ofhealthneed,shareoftotalpopulationetc)

•determiningwhatlevelofpre-paymentvillagersarewillingtopay,thatwillnot compromisetheirhouseholdeconomicsecurity

•thinkingcarefullyabout howmuchrevenuecanberealisticallygeneratedthrough pre-paymentschemes,andsowhatbenefitscanbefundedthroughthem

•strengtheningqualityofcare,bothtoencouragepaymentforservicesandto ensurethattheavailableservicesareaseffectiveaspossible

•ensuringsound and acceptableadministrativeproceduresand personnel,to encouragepre-payment

•providinginformationand promotingdiscussionaboutthe benefitsof a pre- paymentschemerelativetonothavingone

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