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Flagship Course on: Health Financing & Provider Payment. Iran Health Financing May 12-15, 2005 Khoramabad - Lorestan Dr hamidreza Jamshidi. Iran Health Financing. Iran is a lower middle income country with a 2002 GDP US$ 108.2 billion (US$ 438.5 billion PPP). Iran Health Financing.
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Flagship Course on:Health Financing & Provider Payment Iran Health Financing May 12-15, 2005 Khoramabad - Lorestan Dr hamidreza Jamshidi
Iran Health Financing • Iran is a lower middle income country with a 2002 GDP US$ 108.2 billion (US$ 438.5 billion PPP)
Iran Health Financing Iran Health Financing • 2002 GDP Per Capita equal to US$ 6690 PPP. • Government revenues are 25 Percent of GDP • 54% from oil and gas • 24% from taxes • The remainder from other Sources
Iran Health Financing Iran Health Financing • Public health expenditure as % of GDP = 2.8% (2001) • Private health expenditure as % of GDP = 3.6%(2001) • Out of Pocket Payment = 56%
Iran Health Financing • Iran Spent an estimated 6.4% of its GDP on health US$ 422 Per Ca Pita in PPP. • Health Spending accounts for some 10% of Government spending and 5.5 percent of house hold spending.
Iran Health Financing Iran Health Financing
Poverty Safety Net in IR. IRAN Social Security Structure Expansion of the Equal Opportunities & Empowerment Development the Infrastructures High Education Health Public Education Housing Job Creation Establish the Ministry of Welfare Since 2004 • -Health Insurance • Social Insurance • Rehabilitation • Social protection system: • Through establishing: • 1- Imam Khomeini Emdad Committee PHC system Infrastructure Health insurance system Capacity Building Providing human resources for deprived areas
Iran Health Financing Iran Health Financing • In formal sector 30% of income paid for social security benefits (24 million population). Nearly one third of this (9%) amount allocate to health insurance fund. • Government employees pay a monthly fix amount Per Capita and armed forced personnel pays the same amount. Nearly two third of premium paid by Government, just as an employer.
Iran Health Financing Iran Health Financing • Rural Population premium Paid by Government as a fixed amount equal to 40% of civil Servant Premium. • New incoming rural insurance is established by the parliament. Almost totally financed by GOV (5% by people) • Workers Contribution Pooled by Social Security organization fund.
Iran Health Financing Iran Health Financing • Medical Services insurance organization manage Contributions related to civil Servants, Rural Population , Self employed, and other groups. • Armed forced organization provide insurance Services for military Personnel.
Iran Health Financing Iran Health Financing • Poor people is financed partly through charity which Pooled by “Imam khomeini foundation” fund. • Government pay & compensate for poor people premium.
Iran Health Financing Iran Health Financing • Other Social groups (Students, clergies, etc): 80% of their Premium Paid by Government. • Banks, Oil Company and municipality have Own insurance fund. • Self-employed Pay the full amount of their premium.
Iran Health Financing Iran Health Financing • Primary Health Care (PHC) services is delivered by the GOV through widespread health network. • PHC (fully financed through government budget) account for 20% of Government health expenditure.
Iran Health Financing Iran Health Financing • Health insurance sharing in health expenditure = 23% • Health insurance expenditure (Resource Allocation): Hospitals : 40-45% Drug : 25-28% Physicians : 25-22% Para clinics : 15-18%
Iran Health Financing Iran Health Financing 1. Revenue sources are complex 2. Risk pooling limitation 3. No cost-effectiveness analysis of benefit package 4. Regressive method of financing 5. Multiple insurance funds 6. Mixed financing and provision
