Clalit Rated Top HMO, Despite Its Deficit

Kupat Holim Clalit has been rated the number one health maintenance organization in a special report by Business Data Israel.

The worst was Leumit, while Maccabi and Meuhedet shared second and third place.

The survey by BDI ranked the health providers according to four parameters. The first was number of people covered. The four health maintenance funds cover 6.9 million people, of whom 4 million receive service from Clalit. Maccabi insures 1.5 million people and Meuhedet and Leumit each have 600,000 subscribers.

The second parameter was average expenditure per client. Clalit spends NIS 3,468 per capita a year, while Leumit spends NIS 3,464 for each of its insured. Maccabi spends NIS 3,248 and Meuhedet NIS 3,237.

Clalit also heads the list for average revenue per subscriber, with NIS 3,369 per capita. Leumit is in second place with NIS 3,317 per capita while Meuhedet is third at NIS 3,281. Maccabi, which has the image of covering the most well-to-do clientele, brings in NIS 3,270 per capita.

The surplus per capita, which is the difference between the above two criteria, places Meuhedet at the top of the list, at NIS 44 per capita. Maccabi sports a surplus of NIS 22 while Clalit has a deficit of NIS 99 per capita. The worst is Leumit, with a deficit of NIS 146 per capita.

Anyone for bonds?

The Health Ministry is exploring the possibility of allowing the HMOs to raise funds by issuing bonds on the Tel Aviv Stock Exchange. TASE chairman Moshe Tery and a deputy director-general of the ministry, CPA Michal Abadi-Boyanjo, announced yesterday that they had established a joint committee to look into the matter.

The health funds by law receive a collective NIS 22 billion a year from the government, with each taxpayer choosing the fund he wishes to cover his health insurance. As of next year, each HMO will have to file and publish full financial statements, as part of the government's strategy to improve disclosure and transparency.