The intended raising of the wage ceiling for collective health insurance was discussed by Minister of Public Health, Social Development and Labor VSA Omar Ottley in a tripartite meeting with St. Maarten Medical Center (SMMC) and Social and Health Insurances SZV (see related story). He confirmed that the relevant legislation will be debated in Parliament before Christmas.
Late last month the minister reportedly told the Committee of Public Health, Social Development and Labour his hope is to have the national ordinance enter into effect by February-April of next year. This is important, especially because the impression had existed earlier that its introduction could be per January 1.
The limit is almost being doubled from 67,816 to 120,000 Netherlands Antillean guilders per year. According to the explanation given, the average monthly salary of covered employees would now be NAf. 7,311 which is more than most earn on the island.
This rather drastic increase is basically needed to save the fund. However, it means private insurance contracts will expire for a large group of workers and their families who are now to fall under ZV per the first day of the month after this law is published.
The latter has implications for not just the insurance companies and – possibly – their staff, but practically all businesses and part of the labour force. There will supposedly even be reimbursements by private insurers of premium paid for the rest of the year.
That seems like opening a can of worms or, quite frankly, asking for trouble. Far better would be to determine a clear, attainable, and practical starting date like March 1 or July 1 at the beginning of respectively the second and third quarter, so that the duration of policies can be adjusted beforehand, and nobody will owe each other anything.
The plan was to have an information campaign whereby SZV contacts both employers and impacted personnel directly, while a committee that includes private insurance representation is to facilitate implementation. Nevertheless, the proof of the pudding – as usual – is going to be very much in the eating.
