Saturday, August 15, 2009

Money for Right to Healthcare

Calculation for Comprehensive Healthcare in India for Right to Healthcare
(2007 prices)

1. Primary healthcare (Family Medical Practitioner + Epidemiological Station-PHC) with following features:
• Staff composition for each PHC-FMP unit to include 4 doctors, 1 PHN, 2 nurse midwives, 8 ANMs (females), 4 MPWs (males), 1 pharmacist, 1 clerk/stat asst., 1 office assistant, 1 lab technician, 1 driver, 1 janitor – this adds up to salaries and benefits/capitation of Rs. 6 million (salary structures across states may be different and hence this could vary). Doctors and nurses may either be salaried or contracted in on a capitation basis as in the NHS of UK. The curative care component should work as a family medical practice with families (500 – 2000, depending on density) being assigned to each such provider.
• 10 beds per PHC
• Average rural unit to cover 20,000 population (range 10-30 thousand depending on density); average urban unit to cover 50,000 population (range 30-70 thousand population depending on density)
• Non-salary costs separately for rural (avg 20000 population per unit) and urban (avg 50000 population per unit) units per unit cost (Rupees) as per table below:
                                                                                                   Rural                                         Urban
1.Medicines/Consumables @Rs. 40 per capita/yr             800,000                               2,000,000
2. Travel/POL etc. @ Rs 10000/5000 pm rural/urban   120,000                                     60,000
3. Office expenses/utilities @ Rs.10000/12000 pm R/U 120,000                                   200,000
4. Maintenance Building/equipment                                     150,000                                   250,000
5. Rent and/or amortization                                                   200,000                                  300,000
6. CHW honorarium @ Rs.1000/1250 pm                           480,000                                  495,000
(1 CHW per 500 popn rural and 1500 urban)
7. Other costs                                                                             130,000                                  195,000
Total Non-salary                                                             2,000,000                             3,500,000 
Total Primary care Cost per unit                                        8,000,000                        Rs.9,500,000
                                                                                 (Rs. 400 per capita)                 (Rs. 190 per capita)

Total Primary care cost for country Rural: 750 million population needing 37,500 PHCs; and urban 350 million population needing 7000 PHCs : Rs. 300 billion (rural) and Rs. 66.5 billion (urban)

2. First level Referral Care
In rural areas for every 5 PHCs there would be one 50 bedded hospital and this would cost Rs. 400,000 per bed per annum or Rs. 20 million per such hospital. As per this ratio we would need 7500 rural hospitals and this would translate into Rs. 150 billion for the country as a whole.
In urban areas for each 10 PHCs one 200 bedded hospital would be needed and this would cost Rs. 500,000 per bed per year or Rs. 100 million per hospital. As per this ratio 700 such hospitals would be needed and this would translate into Rs. 70 billion for the country as a whole.

3. Secondary and Tertiary care / Teaching Hospitals
One such hospital per 2.5 million population, that is 440 hospitals of 500 bed each at a cost of Rs. 500,000 per bed per year translating into Rs. 250 million per hospital or Rs. 110 billion for the country as a whole.
Primary + First Referral + Secondary/Tertiary = Rs. 696.50 billion

4. Other costs

Capital @ 10% or Rs. 69.65 billion
Research and Data systems @ 4% or Rs. 27.86 billion
Admin costs @ 4% or Rs 27.86 billion
Audit costs @ 2% or Rs 13.93 billion

Grand Total would be Rs. 835.80 billion or Rs. 760 per capita and this works out to 1.9% of GDP. This calculation excludes medical education and medical research, which would be 15% and 10% of the total healthcare cost, respectively, amounting to an additional Rs.209 billion.
                                                           
                                                            Summary Table
                    Type of Cost                                    Amount in Rupees billion
1. Primary care                                                          366.50
2.First Referral Rural                                               150.00
3. First Referral Urban                                               70.00
4. Secondary/Tertiary care                                     110.00
SUBTOTAL                                                                696.50
5. Capital @ 10%                                                          69.65
6. Research and data systems @ 4%                         27.86
7. Admin @ 4%                                                              27.86
8. Audit @ 2%                                                                13.93
TOTAL Healthcare Cost                                    835.80      or 1.9% of GDP
Medical Education and Research                  208.95
Grand Total (Rs. 950 per capita)                1044.75      or 2.4% of GDP

No comments:

Post a Comment