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Economy The Government ordered private health insurance companies to lower the price of their installments and set limits on future increases - Infobae

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The Government ordered private health insurance companies to lower the price of their installments and set limits on future increases - Infobae​

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April 17, 2024

The Secretary of Commerce issued a resolution ordering that the increases must be retroactively calculated from December 2023 by applying the Consumer Price Index. The companies analyze whether they comply with the decision



The national government today ordered that 75% of prepaid medicine companies lower the price of their fees since they will have to recalculate the increases they applied since December taking the Consumer Price Index as a basis for the calculation. At the same time, the Health Superintendency presented a precautionary measure before the Court to return money to users.

The Minister of Economy, Luis Caputo , indicated on network Great work Juan Pazo and Pablo Lavigne in the Secretary of Commerce, using the institutional tools accordingly, and of course a great relief for the middle class.”


“By order of the Ministry of Economy, a group of prepaid medicine companies, which represent around 75% of the affiliates, are going to roll back the value of their fees to December 2023, adjusted from then on by the CPI,” announced the presidential spokesperson, Manuel Adorni, in his usual press conference.

The spokesperson also explained that companies “ must apply at most” the CPI “to adjust the quotas for the next 6 months.” The measure, Adorni explained, was taken following a complaint “for alleged cartelization.”


The announcement comes after strong controversy over the exorbitant increases that companies have applied since December of last year, well above general inflation.

The measure took the companies by surprise, who assured that they did not participate in any negotiations with the Government and are analyzing what path they can take. In this regard, the Executive warned that although companies can appeal, the resolution is already in force and its application does not cease in the event of a presentation of this type.

“The Government of President Milei is not going to validate speculative maneuvers from any point of view. The Argentina of the Avidada ended last December 10,” Adorni added.

The resolution was issued by the Ministry of Industry and Commerce at the request of the National Consumer Defense Commission, which “determined that there are multiple indications of a collusive agreement between the main prepaid medicine companies in the country,” according to official information.


The decision establishes that the price of the quota must be calculated with respect to the value of the month of December 2023 multiplied by the percentage variation between the General Level Consumer Price Index with national coverage prepared by the National Institute of Statistics and Censuses in force at the time of the corresponding billing, and the same Index corresponding to December 2023.

The preventive measure also orders “to cease any type of exchange of information, whether within the framework of the meetings of the Argentine Union Health Confederation (UAS) or any other area, which involves prices, services to be provided, costs and any other commercial information.”

The Government's decision was made based on the complaint made by the Civic Coalition in January, signed by Buenos Aires legislators Hernán Reyes and Juan Facundo Del Gaiso, and by the national deputy Maximiliano Ferraro, against the main companies in the sector.

“We have to review the CPI for December so far and see how much it is. We consider that there will be a considerable reduction compared to what was paid in April,” Adorni said.

Likewise, the spokesperson reported that the Superintendency of Health Services presented a precautionary measure so that the prepaid medicine companies covered by the provision of the Ministry of Commerce return to their affiliates the difference between the increases they applied and those they must apply to. from the official decision.

“The Superintendency no longer controls prices, but it does seek to guarantee free competition and the freedom to choose for the benefit of Argentines,” Adorni highlighted.

Since the Government deregulated the prepaid medicine market through DNU 70/23, signed at the end of last December, prepaid medicine fees suffered sharp increases, which caused an almost general rejection by affiliates.

The conflict grew as the weeks went by and in the last few hours caused the resignation of Claudio Belocopitt as president of the Argentine Health Union , which brings together the main companies.

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Claudio Belocopitt, owner of Swiss Medical. Photo: Franco Fafasuli
Yesterday, after his resignation, the owner of Swiss Medical defended the price increases made by the private health sector and assured that they are in line with the modification of the pricing structure.

“When the Government deregulated prices, the entire prepaid medicine system and the rest came with powerful delays. In December, as a consequence of the devaluation, prices took on a truly impressive acceleration ,” the businessman acknowledged, in an interview with La Nación+ .

Adorni was precisely consulted about the businessman's statements: “If they did everything right, why does he take this position of leaving the camera? Beyond that, there is no problem, you have the corresponding appeal instances in the case of the presentation that the Superintendency of Health is going to make in Justice, as well as in the resolution taken by the Ministry of Economy, clarifying that the appeal does not suspend the measure,” he stressed.


“If there was no cartelization, they will prove it and, in that case, the Justice or those who carry out the investigation in the administrative part will take the path they should take. Since there is presumption, there are elements that determine it. Everything else you can say does not imply anything to us,” the spokesperson added.
 

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