Beijing to launch medical reform, separating hospital service from pharmacy

A pharmacy [File photo: Chinanews.com]

Beijing is to officially launch medical reforms on Saturday, separating hospital services from drug sales.

The overall price of drugs is expected to fall as the reform requires all public medical institutions in Beijing to do away with the 15 percent markup on drug prices.

All the cost of 435 medical services can be reimbursed from the medical insurance, except those otherwise provided by the state.

The reform also requires hospitals to bring in medical affairs fees to replace registration, diagnosis and treatment fees.

The director of Beijing Municipal Commission of Health and Family Planning, Fang Laiying, outlined the new mechanism.

"The medical affairs fee is a kind of compensation for the cost of medical activities at a hospital. The medical affairs service fees vary. For example, the starting fee is 20 yuan for a community hospital, with a patient paying 1 yuan and medical insurance paying the rest. For Class III hospitals, the starting fee is 50 yuan, with a patient to pay 10 yuan and their medical insurance to pay the rest," said Fang.

Fang added that the move aims to give Class III hospitals more strength to treat difficult and complicated cases.

The reforms will be implemented among more than 3,600 hospitals.

It is part of the country's efforts to end the practice of hospitals supplementing their income through drug sales, while guaranteeing that medical personnel get recognition for the value of their skills and services.