Some posit the days of Israel’s socialized medicine are nearing an end as more and more citizens are purchasing supplemental and expanded policies, seeking additional coverage to the basic kupat cholim healthcare system. While Israelis pay a monthly health tax that is supposed to cover their medical insurance, a growing number of citizens have come to the realization that the basic coverage under the health tax has significantly deteriorated. As such more and more people are shelling out sums to supplement their basic medical plan with silver, gold and platinum plans offered by the various kupot cholim (HMOs) today. Health Minister Yael German reports that in 2013, citizens and companies spent an additional 800 million shekels on supplemental healthcare plans. German adds that the figure represents an 8.5% increase as compared to 4% in other areas of healthcare.

The ministry cites health insurance in the most expensive component of healthcare, with households spending 35.8% of total medical costs monthly on insurance. That figure was 34.6% in 2012. Two-thirds of the remaining medical expenses for households were spent for additional healthcare services and the remaining one-third for supplemental policies. For a first time, health insurance has passed the 2% mark in relation to total expenses for the average household.

German explains she is truly concerned with the continued increase in the cost of healthcare. She is working to improve the standard kupat cholim coverage in the hope of minimizing the need for additional coverage.

(YWN – Israel Desk, Jerusalem)

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