UDZS Approves Revival Plan for Vseobecna zdravotna poistovna

One of the VsZP buildings in Bratislava (stock photo by TASR)

Bratislava, December 22 (TASR) – The Health Care Supervisory Office (UDZS) has approved a revival plan submitted by state-owned health insurer Vseobecna zdravotna poistovna (VsZP), which is expecting a record loss this year, TASR learnt on Thursday.

“The Office has concluded that the proposed measures represent realistic prospects for the gradual elimination of unfavourable economic developments,” said UDZS spokesperson Andrea Pivarciova, adding that VsZP will have to submit regular reports on meeting the set austerity measures to the Office.

In its revival plan the insurer refers to saving more than €115 million through self-imposed austerity cuts and obtaining additional financing of €150 million.

VsZP general director Miroslav Kocan expects VsZP’s loss at the end of 2016 to stand in the neighbourhood of €225-250 million. Following austerity measures to be introduced in, for instance, the sphere of medicine and special health material expenditures, the loss should drop to €180 million.

VsZP, the largest health insurer on the market, has found itself in the red since August 2016, when it revised the process of drafting and registering its technical reserves. In 2015, VsZP officially recorded a profit of €17.6 million, but the current management has said that it actually ended the year with a loss. Former VsZP director Miroslav Vadura denies this.