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its arrears over the next six months in compliance with Government regulations.
In an interview yesterday, Mr Mutasa said the company owed service providers a total of US$432 457 as at December 31 but had since paid US$170 303, leaving an outstanding balance of US$262 454.
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He said the company’s plan was to clear these arrears in monthly instalments of US$50 000 over the next six months.
“We shall honour our arrears in the next six months but we are also owed money by other companies, who have also given us payment plans that we have accepted,” said Mr Mutasa.
Mr Mutasa was responding to a Ministry of Health and Child Welfare warning that it would de-register medical aid societies which owe service providers money accrued over a period exceeding 60 days.
According to the ministry, 11 out 26 registered medical aid societies, failed to clear arrears in excess of 60 days by February 28 which was the set deadline.
Other medical aid societies have also disputed that they are failing to clear the arrears or have failed to come up with viable payment plans. In a letter addressed to Health and Child Welfare Deputy Minister Douglas Mombeshora, GreenCard medical aid society questioned how a payment plan was deemed acceptable.
In the letter, GreenCard founding member, who is also owner of Rock Foundation Hospital, Dr Munyaradzi Kereke, said his hospital was owed US$917 724 by various medical aid societies of which US$450 000 was overdue and above the legal 60 days limit. “On what basis is a payment plan deemed acceptable by the ministry without the consent of us as the service providers who are owed money for the services rendered to the public?” queried Mr Kereke.
According to the Ministry of Health and Child Welfare, Galaxy medical aid society has since re-submitted another payment plan for consideration with the regulator.
Sovereign Health (Pvt) Limited (owners of Generation Helath Medical Aid Society) chief executive officer Mr Mudiwa Mundawarara said their medical aid society had been cleared by the ministry and had its licence extended to end of this year.
“I confirm that following our submission to the Ministry of Health and Child Welfare this afternoon, (yesterday) Generation Health Medical Fund has been cleared and its licence extended to December 31,” said Mr Mundawarara.
Harare Municipality Medical Aid Society’s public relations and marketing manager Mr Gailord Chidindi referred questions to the regulator.
However, the Association of Healthcare Funders of Zimbabwe chief executive Mrs Shylet Sanyanga said they were confident that all societies would submit acceptable payment plans.
She said the association would continue urging members to understand and comply with statutory regulations.
“All medical aid societies are working towards compliance and we continue to appeal to employer organisations to remit subscriptions due to medical aid societies to enable them to clear their arrears as directed by the minister,” she said.
Mrs Sanyanga, however, said medical aid societies were operating in an environment that is affected by the macro-economic factors prevailing in the country such as liquidity challenges, unemployment and low salaries which made it difficult to peg viable subscriptions.
“The medical aid system in Zimbabwe has worked for years and payments from medical aid societies account for 90 percent of service providers’ income so it can be brought to efficient levels through coming up with fees that are sustainable for the medical aid and viable for the provider, taking into consideration the economic fundamentals prevailing,” said Mrs Sanyanga.
Some societies have since submitted payment plans to the ministry, which chairs the Joint Advisory Committee.
JAC comprises all players in the health sector.
Online Reporter