Recap on the National Health Insurance Regime - Bahrain
Healthcare &Life Sciences Focus
This piece provides a recap of the national health insurance regime in Bahrain, highlighting its key features, benefits, and challenges.
Law Update: Issue 364 - Healthcare & Life Sciences Focus
Rad El TrekiPartner, Head of Office - Bahrain
Hiba AbidTrainee Solicitor,Banking & Finance
One of the key pillars of the healthcare system in Bahrain is the national health insurance regime, which aims to ensure accessible and affordable healthcare for all. This piece provides a recap of the national health insurance regime in Bahrain, highlighting its key features, benefits, and challenges.
The national health insurance regime in Bahrain, known as the National Health Insurance Program (“Sehati”), was launched in 2006. It is a mandatory health insurance scheme that covers all Bahraini citizens and residents, including expatriates. The program is administered by the Health Insurance Directorate under the Ministry of Health.
Over the years, there have been several attempts at launching and implementing Sehati across the Kingdom. In 2018, the National Health Assurance Law No.23 was introduced, which covered several features of the Sehati program.
The law mandates the establishment of a comprehensive health insurance system, which will be responsible for providing health coverage to all individuals in Bahrain. This system will be funded through contributions from employers, employees, and the government. The law further defines a minimum health benefits package that all individuals covered under the health insurance system are entitled to. This package includes preventive, curative, and rehabilitative services, as well as essential medications. Quality standards for healthcare providers have been prescribed, ensuring that they meet certain criteria in terms of infrastructure, equipment, and personnel. This is aimed at improving the overall quality of healthcare services in Bahrain.
Furthermore, a unified health information system will be implemented to collect and analyse data on health services, health outcomes, and health expenditures. For example, the health information and knowledge management centre will collect, analyse, and process health related data, as well as authorise those permitted to process or receive health related data. Another key data bank under Sehati is the unique electronic medical record, whereby each beneficiary shall have an electronic medical record containing all their data. This system will help in monitoring the performance of the healthcare system and making evidence-based decisions. A unique aspect of the information system under Sehati is the National Health Data Dictionary, which iterates health related terms, medical jargon, and their definitions to individuals with no medical background.
The law further emphasizes the rights and responsibilities of patients, including the right to access information about their health, participate in decision-making, and provide feedback on the quality of care received. To promote healthy lifestyles and reduce burden of preventable diseases among the population of Bahrain, health promotion and disease prevention activities have been encouraged.
The healthcare sector must comply with the regulatory framework under National Health Assurance Law No.23, including the licensing and accreditation of healthcare facilities and professionals. This is aimed at ensuring the safety and quality of healthcare services provided in Bahrain.
The much-awaited launch date of Sehati has kept the Kingdom on their toes. Sehati was meant to be launched in 2019, however the pandemic caused serious delays. The National Health Plan (2016-2025) is a scheme that has mapped out the different phases of improving the healthcare system in Bahrain. One of these phases in the National Health Plan is the introduction of Sehati Card with the “Choose Your Doctor” feature. In June 2023, the Supreme Council of Health (“SCH”) began rolling-out the Sehati cards, starting with health centres in Muharraq governate. Later the Sehati cards will be rolled-out gradually to the rest of the Kingdom. The chip enabled Sehati Card contains medical history of the holder, as well as test results, diagnoses and prescription details. This will make it easy for the patient to transfer between and within public and private sector hospitals.
The Health Insurance Fund (the “Fund”) will be responsible for the implementation of the health insurance system. The Fund shall coordinate with competent and experienced experts, as well as the SCH to ensure individuals covered by insurance have easy access to health services. A Chief Executive Officer shall be appointed to oversee the technical, administrative, and financial conduct of the Fund. The Fund shall be financed from sources such as health insurance premiums, return on investments of the Fund’s funds, donations, and a proportion of fees collected from licensing of the establishment, including management and operation of private health institutions. We are yet to see the role of the Fund in the Sehati program but there will be some form of involvement, given that the Fund is the only establishment that holds finances for the health sector in Bahrain.
Sehati offers several benefits to its beneficiaries in Bahrain. Firstly, it ensures universal access to healthcare services, regardless of an individual's socioeconomic status. This promotes equity and reduces disparities in healthcare access. Secondly, Sehati provides financial protection by covering a significant portion of medical expenses, reducing the burden on individuals and families. This helps prevent catastrophic healthcare expenditures and ensures that healthcare remains affordable for all.
Moreover, Sehati promotes preventive care and early intervention by covering a wide range of preventive services, screenings, and vaccinations. This focus on prevention helps in reducing the prevalence of chronic diseases and improving overall population health. Additionally, the national health insurance regime encourages competition among insurance providers, leading to improved quality of healthcare services and increased efficiency in the healthcare system.
Despite its many benefits, the national health insurance regime in Bahrain faces certain challenges. Sehati has received much criticism for its delayed launch, however the SCH has initiated the launch and there will be challenges that remain to be unfolded. Prospective concerns include the rising cost of healthcare services, which puts pressure on insurance premiums and government subsidies. This will necessitate continuous monitoring and adjustment of the fee schedule to ensure sustainability and affordability.
Another challenge is the potential strain on healthcare infrastructure and resources due to increased demand for services. Sehati will make healthcare facilities more accessible, which may require the government to invest in expanding healthcare infrastructure and human resources to meet the growing demand adequately.
Sehati, the national health insurance regime in Bahrain, is crucial in ensuring accessible and affordable healthcare for all citizens and residents. Through its mandatory health insurance scheme, Sehati promotes equity, financial protection, and preventive care. However, SCH will need to be mindful of potential challenges such as rising healthcare costs and increase in demand for services require ongoing monitoring and adjustments to maintain the sustainability and effectiveness of the regime. The National Health Assurance Law has an important role in the healthcare system for Bahrain, aiming to improve access to healthcare services, enhance the quality of care, and promote health and well-being among the population. Overall, the national health insurance regime in Bahrain serves as a model for other countries in the Middle East striving to achieve universal healthcare coverage.
For further information,please contact Christina Sochacki and Hiba Abid.
Published in January 2024
