ACC to cut number and payouts for scans

ACC Minister Nick Smith. Photo / Mark Mitchell

ACC says they will move to rein in the cost of medical scans, which has blown out to $97m in the last year.

"The cost of these scans (such as MRI and CT) has risen 120 per cent in five years. That's a far greater rise than you would expect from inflation, claim numbers or any other factor," ACC director of health purchasing Gail Kettle said.

"Our analysis found not only that we had been paying for scans that were not injury related but also that the price had been too high.

"There is no doubt that scanning is a valuable diagnostic tool. But in addition to the rapid rise in costs, we know that not all scans currently being funded by ACC relate directly to a covered injury. The point is that every dollar that's spent inappropriately on scanning is a dollar that could have been spent on a genuine ACC need."

ACC planned to reintroduce an earlier system of prior approval of some scans, sometime after July next year.

From next month ACC would also progressively lower the prices it paid to radiologists and other providers of High-Tech Imaging (HTI) scans, such as MRI and CT scans, Ms Kettle said.

It was hoped that by next August a 20 per cent price reduction would have been achieved, which would bring New Zealand more into line with Australia.

"We talked to HTI providers and obviously they're not happy about a price cut but we believe the new pricing model more accurately reflects the cost of providing the service. The new pricing model was also validated by Deloitte.

"Everyone who is entitled to an ACC-funded scan will continue to get one," Ms Kettle said.

She added the change would not affect urgent or acute scans that needed to be done immediately at public hospitals.

- NZPA