The world would be turned upside down if patients insured by Southern Cross Healthcare were asked to settle their accounts when being discharged from private hospitals.
That is not how insurance is meant to work. People insure themselves so they are not suddenly saddled with bills for thousands of dollars.
Yet, in the case of surgery, that is exactly what might be levelled at Southern Cross patients if the company does not quickly clear a backlog of unprocessed claims.
The healthcare provider blames the delay on a "complex changeover" to a new computer system. On those grounds, it is possible to feel sympathy for its plight. Computer woes have a nasty habit of dragging on. In this instance, there are severe consequences.
Private hospitals say they are $26 million out of pocket and Southern Cross is seven weeks behind in meeting claims. Thus the threat to put the financial burden on patients while they wait for their insurer to pay out.
That must remain a warning, if only because the patients' interests must come first. Quite simply, Southern Cross must bring its claim turnaround time back to reasonable proportions. It says it is doing this; extra staff have reduced the waiting period, and the situation should be back to normal by the end of this month.
The private hospitals appear unconvinced. Perhaps they feel the clout afforded by Southern Cross's 800,000 members makes the company unreceptive to their concerns.
If such is the case, Southern Cross needs, for the sake of those members, to be more sensitive. If it needs to employ more staff to rein in its turnaround time, so be it.
Certainly, its members could justifiably start pondering the value of insurance should they have to settle accounts on being discharged.
Would it not, for example, be just as practical to prepare for that rainy day by simply hiding their money under a mattress?
