Europe

National Health Insurance Fund lost € 56 million in 2021

National Health Insurance Fund lost € 56 million in 2021

Health care

Reserves used to fill holes in CNS finances as the Minister of Health warns that he is suffering from a structural deficit unrelated to the pandemic.

Reserves used to fill holes in CNS finances as the Minister of Health warns that he is suffering from a structural deficit unrelated to the pandemic.

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The Luxembourg National Health Insurance Fund CNS lost about € 56 million in 2021. This means that the Covid-19 government aid scheme has been unable to close the fiscal gap and the fund is increasingly dependent on its reserves.

Last year’s reserves for CNS were € 93.2 million, down from € 958.9 million in 2020, when reserves reached 25.4% of spending.

The loss of € 55.7 million in 2021 was lower than originally expected, according to previous estimates. 101 million euros.. However, costs were not as high as initially expected, and there was an unexpected increase in income, the government said Wednesday.

The latest forecast for next year is a deficit of around € 48.1 million, according to figures released in a joint statement by the Ministry of Social Security and the Ministry of Health. The expected loss will reduce the fund’s total reserves to € 855.2 million in 2022, ministries said.

The central nervous system suffers from common structural flaws unrelated to Covid-19, Health Minister Paulette Renato told broadcaster RTL Wednesday. Over the past few years, expenses have increased by 8.2%, but income has increased by only 5.8%, Renato said.

At the time of the 2020 pandemic, the government promised to provide CNS with additional funding of € 386 million to absorb Covid-19-related spending. In 2020, € 200 million was paid to the fund and an additional € 62 million was secured each year to support the costs from 2021 to 2023.

Despite this assistance, the CNS has incurred a large amount of costs associated with the pandemic, as the prescription provides PCR tests and the additional costs of treating the patient in the hospital.

The government said Wednesday that a working group consisting of representatives of the government, medical institutions and trade unions would be set up to develop a strategy to restore the fund’s finances to equality. A report summarizing the conclusions will be released in the fall, the statement added.

The pessimistic financial situation at the CNS comes in the same week as the country’s central bank investigation stated: Per capita medical costs in Luxembourg By the end of this century, it will almost double and swell to the maximum in the EU to meet the demands of the aging population.

last month, The government also said that the reserves held by the Luxembourg pension fund have almost doubled in the last decade. However, he added that funds could be exhausted by 2047 and showed that contributions need to be increased in the coming decades to cope with the aging population.


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http://www.luxtimes.lu/en/luxembourg/national-health-insurance-fund-makes-56m-loss-in-2021-627381a4de135b923634e8ea National Health Insurance Fund lost € 56 million in 2021

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