Health scheme worries union

PUBLIC Employees’ Association (PEA) president Robert Kutapai has raised concerns about the recently-launched health care system for public servants by PNG Health Assurance (PHA) Ltd.
He said PEA was never consulted about the scheme, however, its name was splashed on company advertisements.
“There was never a consent (given) by the association’s leadership or a memorandum of understanding with this foreign player, which warrants the brand name to be used for publicity or marketing,” Kutapai said.
“The association is concerned about the credentials of the PHA company, as it is only an underwriter with the insurer based in France and fund administrators are based in Singapore.
“The country has a vibrant insurance industry which is highly regulated, and to bring a foreign player with no local knowledge begs the question of whose interest are we really serving. The scheme is for medical cover only and not life cover, as the foreign insurer is not licensed by Bank of PNG.”
PHA specialist adviser Raj Juta told the media last month that they were providing affordable, quality and cashless healthcare to the community. Juta said PHA’s national healthcare insurance scheme launched earlier last month was a voluntary insurance cover available to all people in PNG.
He said it was designed after close consultation with relevant partners.
Juta said public servants had a choice whether to sign up or not, adding they had not issued an insurance policy.
He said PHA was providing insurance to the PNG Kumuls players and had signed a K10 million contract to be their major sponsor for the next five years.
“Starting next year, the PNG LNG Kumuls will be called PNG PHA Kumuls so we are an insurance company here to stay,” Juta said.
He said PHA planned to set aside five per cent of its annual net profit before tax to help develop the healthcare system in the country, in partnership with the Health Department.
It has also offered 20 per cent of its shareholding to the national Government.