Circular No. 55/2017/TT-BYT dated December 29, 2017 of the Ministry of Health on rate and payment for medicine loss at health facilities

THE MINISTRY OF HEALTH

Circular No. 55/2017/TT-BYT dated December 29, 2017 of the Ministry of Health on rate and payment for medicine loss at health facilities

Pursuant to the Law No. 105/2016/QH13 dated April 06, 2016 on pharmacy;

Pursuant to the Government’s Decree No. 75/2017/ND-CP dated June 20, 2017 on functions, tasks, power and organizational structure of the Ministry of Health;

At the request of the Director of the Drug Administration of Vietnam,

The Minister of Health promulgates a Circular on rate and payment for medicine loss at health facilities.

Article 1. Scopeof adjustment

1. This Circular deals with the maximum rate of medicine loss paid by health insurance; rules for determination and documents proving medicine loss in the course of storage, transport, dispensation, preparation, dose division and use of medicines at health facilities that conclude agreements on providing medical examination and treatment for health insurance buyers (hereinafter referred to as “agreements”) with health insurance authorities.

2. This Circular shall not apply to herbal ingredients and traditional medicines.

Article 2. Definitions

For the purposes of this Circular, the terms below shall be construed as follows:

1."Medicine loss" means the loss of quantity of a medicine in the process of storage, transport, dispensation, preparation, dose division or use of the medicine at a health facility.

2.“Value of medicine loss of each medicine" is calculated according to the quantity of lost medicine multiplied by the price of the medicine purchased by the health facility, in particular:

Value of medicine loss (VND) = Quantity of lost medicine(s) x Price of medicine (VND).

3."Rate of medicine loss of each medicine" means the rate (%) of medicine loss in the process of storage, transport, dispensation, preparation, dose division or use of the medicine at the health facility over the total value of medicines used by the health facility in the fiscal year, in particular:

4."Rate of medicine loss at the health facility" is equal to the total rate of each medicine used at the health facility in the fiscal year.

Article 3. Rules for determination of medicine loss and payment thereof

1. The determination of medicine loss to make payment shall be based on the cases mentioned in Article 4 herein and documents proving medicine loss mentioned in Article 5 herein.

2. Management, determination and payment for medicine loss shall be based on the value of actual loss of each medicine used at the health facility.

3. The rate of paid medicine loss at the health facility shall not exceed the rate mentioned in Clause 1 Article 6 herein.

Article 4. Cases where medicine loss is paid

1. Expired medicines used for first aid, antidotes and rare medicines obliged to be stored to serve the treatment provided at the health facility: The medicine loss shall be paid for the quantity of expired medicines when they are stored at the health facility.

2. Damaged medicines during the course of storage, transport, dispensation, dose division or use at the health facility caused by a force majeure event or not caused by officials or employees of the health facility when they are performing their duties.

3. Lost medicines during the course of preparation or dose division before dispensing to patients.

Article 5. Documents proving medicine loss

The health facility shall provide the following documents for consideration of receiving payment for the cases mentioned in Article 4 herein:

1. The completed record on the list of medicine loss of departments/divisions and related causes provided in the specimen of Appendix I attached hereto.

2. The completed record on confirmation of expired medicines used for first aid, antidotes or rare medicines or record on damaged medicines during the course of storage, transport, dispensation, dose division or use at the health facility provided in the specimen of Appendix II attached hereto.

3. The completed record on periodic stocktaking of medicines carried out by the health facility provided in the specimen of Appendix III attached hereto.

4. A minutes of the annual medicine stocktaking council at the health facility with the participation of the social insurance authority concluding the agreement with the health facility confirming that the medicine loss comply with the provision mentioned in Article 4 herein.

5. Process of preparation or dose division issued by the health facility specifying the rate of loss of each medicine. The determination of such rate shall be made into a minutes and ensure consistency between the social insurance authority and the health facility.

Article 6. Payment for medicine loss

1. The maximum rate of payment for medicines used at the health facility over the total value of medicines used in the fiscal year shall be 0.1%.

2. The payment for medicine loss shall be based on the value of actual medicine loss in the process of storage, transport, dispensation, preparation, dose division or use at the health facility, provided that it does not exceed the maximum rate mentioned in Clause 1 this Article. There shall be no payment for the medicine loss that is included in the technical-economic norm regulated by a competent state authority.

Article 7. Effect

This Circular takes effect on March 01, 2018.

Article 8. Reference provision

If any legislative document or reference specified herein is amended or replaced, its latest version shall prevail.

Article 9. Responsibilities of implementation

1. The Drug Administration of Vietnam shall take charge or instruct application of the rate of medicine loss at health facilities.

2. The Department of Planning and Finance shall provide guidance on management and payment for medicine loss at health facilities.

3. Responsibilities of health facilities:

a) The health facility shall manage the steps that are likely to cause medicine loss and consolidate reports to make payment for the loss according to quantity of actual medicine loss and rate of medicine loss mentioned herein;

b) Before January 15 every year, the health facility shall send an application for payment of medicine loss to the social insurance authority which the health facility concludes the agreement with in order to consider making payment for medicine loss under the provisions stated herein;

c) If the rate of medicine loss is more than the maximum rate thereof to be paid mentioned herein, the health facility shall identify causes of the loss and promptly take measures to prevent and minimize expenses caused by medicine loss.

4. Social insurance authorities concluding agreements with health facilities shall make payment under the provisions stated herein within 30 days from the date receiving applications for payment of medicine loss from health facilities.

Any problems arising in the course of implementation should be reported promptly to the Ministry of Health (Drug Administration of Vietnam or Department of Planning and Finance).

For the Minister

The Deputy Minister

Truong Quoc Cuong