What are the prepaid payments announced by the Government and what will be the value of the installments?

What are the prepaid payments announced by the Government and what will be the value of the installments?

As reported by the Government through an official statement, “in the framework of an investigation into alleged anti-competitive conduct that began in mid-January of this year, the National Commission for the Defense of Competition (CNDC) determined that There are multiple indications of a collusive agreement between the main companies of prepaid medicine in the country”.

What are the prepaid payments announced by the Government?

After confirmation of Adorni At today’s press conference, the Government announced the list of prepaid medicine companies ordered to roll back to December the strong increases in their health plansafter the release of prices, and which are also accused of cartelization.

This is how the Government of Javier Milei, after deregulating prepaid prices through the current DNU 70/2023, goes back the same prepaid prices to December last year due to increases that already average 165% so far this year.

“In addition, Prepaid medicine companies must submit information to the CNDC on nominal prices of each health plan offered, income obtained by each health plan and number of members in each of the plans,” the regulations add in detail.

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The Government intimidated prepaid companies because of the prices.

It is in this context that medical companies are obliged, starting today, to inform and provide data on their prices and updatesadded to the obligation to publish within 10 business days “the full text of the anticipated protection measure on their respective websites.”

The companies investigated since January by the National Commission for the Defense of Competition (CNDC)which depends on the Ministry of Commerce and Industry, and covered by the measure are:

  • Galeno Argentina SA
  • British Hospital of Buenos Aires Civil Association
  • German Hospital Civil Association
  • Medifé Civil Association
  • Swiss Medical S.A.
  • Omint SA Services
  • OSDE Organization of Direct Business Services
  • The Argentine Health Union (UAS), the confederation that brings them together
  • and Mr. Claudio Fernando Belocopitt, in his capacity as current president of the Swiss Medical SA firm and then president of the UAS.

Prepaid: what will be the value of the monthly payment after the measure of Javier Milei’s government?

The official estimate is that, starting from the ceiling of increases set by inflation, the fees should drop by an average of 33% compared to their current levels.

The lending companies calculated that the decline would be 25% if the measure becomes effective. However, in the sector they warned “risk of breakdown” of the system in case progress is made in that direction.

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How much would the fees go after the Government's announcement.

How much would the fees go after the Government’s announcement.

In any case, the Government’s request does not contemplate a refund to customers at the moment for the surplus they paid in the last four months. The Health Superintendence yes filed a precautionary measure with the Justice so that the amount above the Consumer Price Index (CPI) of the INDEC.

According to estimates from the private sector, after the Government’s announcement, the readjustment in the quotas should vary by 25%, given that they increased on average, between 6 and 7% above inflation.

Source: Ambito

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