The Tribune

By KHRISNA RUSSELL

Deputy Chief Reporter

krussell@tribunemedia.net

THE National Health Insurance Authority is proposing a tax on sugary drinks and potentially other unhealthy products be implemented July 2019 to fund health education and outreach programmes.

However, the proposal, outlined in NHIA’s policy paper – National Health Insurance a Shared Responsibility – released yesterday does not say what the tax rate would be.

“Jurisdictional research indicated that ‘sin’ taxes on particularly unhealthy products, such as sugary drinks, alcohol, and cigarettes are effective revenue sources and create an economic and social incentive to reduce consumption,” the document said.

“Under our proposed plan, a sugary drinks tax structure will be developed for sugary drinks and potentially other unhealthy products. The funding generated by this tax will be earmarked and flow directly into health education and outreach programmes.”

It continued: “Under the National Wellness Programme, NHIA will lead a prevention, health education and outreach programme. While primary care physicians should act as the principle educator for Bahamians when it comes to good health, mass education campaigns on the dangers of poor health are critical. Understanding the importance of listening to your doctor starts with outlining the consequences of failing to do so. Our prevention, health education and outreach programme will be both inspiring and educational, by providing important health education tips as well as information about the dangers of poor health decisions.”

According to the policy paper, there will be four separate categories of coverage under National Health Insurance.

The standard health benefit is the minimum standard of coverage for insurance contracts in The Bahamas. In 2020, it will include enhanced primary care and the high cost care programme.

There is also enhanced primary care. This category will include the existing primary care services included in NHI as well as cancer screenings, X-rays and ultrasounds.

High cost care, the third category in the scope of coverage, features treatment for interventions for disease burdens for breast cancer, cervical cancer, prostate cancer, colon cancer, rectal cancer, heart attacks, pacemaker insertion and end stage kidney disease.

And then there are supplemental insurance offerings to be offered to consumers in health insurance plans and can be structured based on individual consumer and provider preferences.

The policy paper also lists several groupings to be exempt from the employer mandate which proposes employers share the cost of National Health Insurance with the employee. “If an employee has more than one job in which they are working 15 hours per week or more, it is the responsibility of the first employer to be the ‘primary employer’ and purchase health insurance for their employees. If this status changes, the other employer becomes responsible.”

This also includes those working under 15 hours per week, small businesses with revenue under $100,000 per year, clubs or commissionaires of any foreign state operating under special agreement with the government.

Existing insurance plans are also proposed to act in substitute of a standard health benefit until January 2021. Therefore anyone covered under existing insurance contracts can continue to receive coverage until this date. They will, however, be subject to premium contributions into the capitalising risk equalisation fund, but not subject to these payments.