James Bannon (Longford-Westmeath, Fine Gael)
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Question 30: To ask the Minister for Health and Children the total amount of money owed by private health insurers to Health Service Executive west; and if she will make a statement on the matter. [34716/10]

Jack Wall (Kildare South, Labour)
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Question 66: To ask the Minister for Health and Children the amount of money owed that has not been collected by the Health Service Executive west; the amount that has not been collected from health insurers; the action being taken to ensure that such money is collected; the action being taken to ensure that bills to insurance companies are sent in a timely fashion; if there are significant sums owed in other sections of the Health Service Executive; and if she will make a statement on the matter. [34704/10]

Mary Harney (Dublin Mid West, Independent)
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I propose to take Questions Nos. 30 and 66 together.

Charges are levied for private patients availing of private and semi-private accommodation in public hospitals. In most, but not all, cases these charges are paid by private health insurance companies on behalf of their members. At the end of 2009 some €41 million in such charges was due to the HSE West, and a further €2.5 million owed to St. John's Hospital in Limerick, which is a voluntary hospital. Charges due include those billed to patients or their insurance companies where payment was not received by year end and bills which had not issued by year end. A total of some €92.5 million income was collected by the Western Region hospitals during the course of 2009, of which €4.5m related to St. John's hospital. The average debtor period in HSE hospitals for such charges is 5.7 months. (This refers to the time from discharge to receipt of payment).

I consider that this collection period is unsatisfactory and in 2010 I set the HSE an enhanced income collection target for the year of €75 million. This target was to be achieved through improvements in the collection process and reduction in debtor days. The target for improved collection set for this year and the associated initiatives underway to achieve this include the voluntary hospitals. The industrial relations action by the health services staff in the early part of the year hindered action to achieve this target but a dedicated national project to accelerate income collection across all hospitals is now underway again. The HSE has set hospital level targets for income collection and appropriate budgetary sanctions are applied should the targets not be achieved. The HSE has put in place arrangements to speed up the payment of claims, including the electronic submission of claims and the submission of claims on a more frequent basis. The HSE and private health insurers have also agreed arrangements in a number of hospitals for sign off of claims by another consultant where delays are experienced in getting sign off of claims by the treating consultant.

In addition, in order to comprehensively address issues of charging and collection in relation to this area the Department of Health and Children has undertaken a Value for Money and Policy Review of the Economic Cost and Charges Associated with Private and Semi-Private Treatment Services in Public Hospitals. The issue of private patient income collection is addressed as part of this Review. The Review will outline an example of best practice in relation to income collection and make a number of recommendations aimed at improving collection rates and debtors days. The review is currently being finalised and it is anticipated that the Review will be brought to Government shortly.