Health insurance funds remind you of the benefits of paying taxes when receiving treatment


2022 05 17


Health insurance funds traditionally join the spring campaign "There is no place for shadow in this country". The main aim of the campaign is to remind people of the importance of being and staying transparent and to highlight the importance of paying taxes. At the same time, the specialists of the health insurance funds emphasise that the importance and benefits of paying taxes honestly are felt by every citizen when it comes to taking care of his/her health.

"The White Wave” survey on people's attitudes towards the shadow and transparency shows that the pandemic has had a significant impact on people's attitudes towards business transparency and the economic shadow, with 52% of the population being more likely to look into the transparency of companies when choosing services or goods, and 66% of the population being more likely to pay more for the output of a transparent and responsible company.

This year, the score for people's perception of corporate transparency has also risen, now standing at 5.6 out of 10, up from 4.7 last year. The index shows how much of the population is interested in corporate transparency and responsibility and how strongly. The willingness to pay more for the services of a transparent and responsible company is also on the rise (66% compared to 56% last year). Similarly, 46% of the population would be willing to pay more for the products of a company that knows and manages its social and environmental impacts (compared to 46% last year).

On the other hand, the scale of the shadow economy in Lithuania is shrinking, thanks to the combined efforts of responsible citizens, businesses and active institutions, but more slowly than would be desirable, with estimates varying between 13% and 20% of gross domestic product (GDP).

The survey reveals that the main trend has been unchanged for several years, with young people paying much closer attention to the companies from which they buy goods and services. 63% of young people under 30 say they are interested in the transparency and responsibility of a company, and their transparency index has increased since last year from 5.2 to 6 on a 10-point scale.

The trend is also unchanged, with older people, those on lower incomes, in low-skilled jobs, and those living in smaller towns and cities paying less attention to transparency.

Meanwhile, specialists from sickness funds remind us that practically everyone feels the importance and benefits of paying taxes honestly when it comes to their health. Compulsory Health Insurance (CHI) contributions are one of the main contributions in Lithuania, which are used to protect the health of the population. The CHI premiums collected form the Compulsory Health Insurance Fund (CHIF), which is used to reimburse insured persons for healthcare services, reimbursable medicines and medical aids.

This year, the CHIF amounts to €2.79 billion. The revenue of the CHIF is as much as €200 million higher than last year's estimate. The increased funding for different areas of healthcare means that more services are reimbursed to patients and their accessibility improves. Reimbursement also includes more medicines and medical aids, orthopaedic equipment, modern tests, etc.

What can happen if a person works illegally, without a contract of employment, and no CHI premiums are paid for him/her? Experts from the Health Insurance Fund remind you that you may have to pay out of your own pocket for every doctor's visit, treatment, examination, surgery, and necessary reimbursable medicines or medical aids that you need.

For example, a resident works without an employment contract and instead of paying all the taxes due, his employer pays his salary in an "envelope". One day, a person undergoes surgery for appendicitis. It turns out that the worker is not covered by CHI and has to pay for the treatment himself/herself. Depending on the complexity of the condition, the appendicitis operation and the average length of hospital treatment for this patient could cost between €1,179 and €2,014.

Some more examples. If a person not covered by the CHI suffered an ischaemic stroke, the cost of treatment would range from €913 to €12,329, depending on the complexity of the condition and the method of treatment (surgical or non-surgical). In addition, if thrombectomy were to be used unexpectedly, this would add €7 681 to the cost of treatment.

If drugs for melanoma or lung cancer are needed, they can cost over €60,000 for a person not covered by the CHI, while drugs for kidney cancer can cost more than €80,000, while surgery and treatment for a kidney transplant would cost on average €30,479.

What's more, people of a certain age who are covered by the CHI can also have their health checked under preventive programmes, the cost of which is reimbursed by the sickness funds from the CHIF. Meanwhile, people who have avoided paying for the CHI would have to pay for it themselves if necessary.

For example, depending on the complexity of the patient's condition, surgery on the prostate for a malignant tumour can cost between €1,143 and €4,313, while outpatient medicines cost around €25,000 a year. Surgery for a malignant tumour in the breast could cost between €1,521 and €2,465, while outpatient drugs for breast cancer could cost around €28,000 or more per year. If a malignant tumour requires certain uterine and uterine appendage procedures, the out-of-pocket costs could range from €1,819 to €5,369.

Health Insurance Fund specialists remind us that the few figures mentioned above are, at first glance, dry but eloquent financial statistics, and they can hit the pocket of a CHI evader hard at any time.

The 11th civic transparency campaign "There is no place for shadow in this country" takes place from 16-23 May. The organisers of the campaign invite you to take part in a range of events, lectures, discussions and talks on why responsible behaviour by citizens and businesses is important and how it contributes to the quality of life for all of us.

The initiators and organisers of the campaign are the Investors' Forum Association and the Transparent Business Initiative " The White Wave".

The NHIF invites you:

Your questions are welcome by email [email protected] or phone: local (8 5) 232 2222, international +370 5 232 222