Senate Bill No. 8-48, SD2, HD1 also establishes a National Health Savings Plan and provides for a National Group Health Insurance Plan.
When the Senate approves the House amendment it will then go to President Johnson Toribiongfor signature.
The legislation establishes a medical savings fund and provides a health insurance system for the country.
The universal application of the health coverage provides that “ no one is denied access to health care or be turned away for lack of money.”
Thehealth coverage will fulfill its constitutional responsibility to meet the healthcare needs of the people in Palau.
This bill requires taxpayers to pay 2.5 percent of his income to be put into a Medical Savings Account, together with another 2.5 percent that his employer is likewise required to pay. He or his beneficiaries can then use the Medical Savings Account for future medical expenses, such as regular checkups, out-patient services, doctor’s fees, medicine, etc.
This Bill also establishes a National Health Insurance to take care of sudden and tragic healthcare concerns, including inpatient and off-island referrals. For this, the taxpayer is required to pay 2.25 percent of his paycheck into the Palau Health Insurance System. If he pays directly to the MSA, he will no longer be deducted anew. So, from his 5 percent contribution (2.5 percent from the employee and 2.5 from employer), the 2.25 percent will go to the National Health Insurance subscription cost, and the other 2.75 percent will remain in her MSA.
Proposedstartfor withholdings isto begin in October this year to allow time for the budgets, especially those of the Ministry of Health’s, to take into consideration the new changes.
The bill also appropriates the sum of $50,000 as initial administrative expenditure to jumpstart the program.
