JULY 30, 2004
VOLUME 1 NO. 14
 

Medicare coverage: a tangled web of conflicts

A few guiding principles on the mysterious decision-making process.
My basket's got a hole in it


Politicians are always banging on about smarter use of our healthcare resources. While this sounds great on paper, before anything can get fixed, reformers need to get their heads around how spending decisions are really made.

Consider this real life quandary: a promising treatment for autism, called Lovaas or applied behavioural analysis, is available, but there's a catch -- it's very expensive. Should it be covered by medicare? When faced with that very question, the government of British Columbia answered with a resounding "No." But a BC court begged to differ -- invoking the Charter of Rights and Freedoms to ensure access. Now, lawyers from the federal government and seven provinces are at the Supreme Court of Canada trying to overturn the BC court decision.

Courting disaster?
There's a very good chance the BC decision will be reversed because policymakers fear it will open the floodgates to court challenges by any Tom, Dick or Harry who wants public coverage of a particular treatment. "The courts can say you have to be reasonable in your denial of a service and consider the evidence," says Colleen Flood, assistant professor of law at the University of Toronto, "but they're not a very good place in which to deal with evidence about effectiveness and healthcare outcomes." She thinks these court challenges can easily devolve into a battle of the 'experts.'

In the past, it's proven difficult to get the courts to add to the medicare basket. The last successful Supreme Court challenge was the Eldridge case in 1997, which ordered the BC government to pay for sign language interpreters for deaf people accessing health services.

So, if not in the courts, where are coverage decisions being made? Professor Flood is trying to get to the bottom of that mystery in a three-year study called Defining the Medicare Basket. Funded by the Canadian Health Services Research Foundation (CHSRF) and the Ontario Ministry of Health and Long-term Care and conducted by U of T's Health Law and Policy Group, the study hopes to unravel who decides which medical goods and services get publicly funded in Ontario. What they've discovered so far probably won't set many minds at ease.

Too many cooks
In Ontario, the Physician Services Committee along with medical consultants play a big role in deciding what gets covered under medicare. As for the other stuff in the healthcare basket, decisions are made by many and sundry, like the provincial formulary committees, the new national -- save Quebec -- Common Drug Review (CDR) process, Cancer Care Ontario, as well as the various hospitals and regional health authorities. But the Ontario Medical Association is the most important decision-maker at the moment. "Their decisions determine what happens in hospitals, they determine the drug regime that will accompany treatment and what diagnostics will be used," says Professor Flood.

The system remains desperately fragmented, with many provinces re-inventing the healthcare wheel. "There are so many levers of decision-making," she says, "and within their little spheres of influence they have enormous impact on what's in and what's out of medicare." But while each province ultimately decides how to stock its own medicare basket, there are some ongoing efforts to come up with a way to share the wealth of knowledge used to make these decisions. The CDR, for one, streamlines the provinces' drug listing resources by studying cost-effectiveness centrally and then letting the provinces decide what to do with the recommendations. Their word carries a lot of weight. "A 'yes' from the CDR means maybe," says Professor Flood, "and a 'no' pretty much means no."

Professor Flood sees an urgent need to broaden out the healthcare system so it covers more than just physician and hospital services, while getting rid of things that either don't work or bring only scant benefits. "For example, there's no evidence that annual general checkups bring any actual benefit," she says, "but we fund them while we don't have universal access to insulin or childhood vaccinations."

Now there's a court challenge.

Defining the Medicare Basket will be released in 2006. For more information, please visit the project's website: www.law.utoronto.ca/healthlaw/basket

 

 

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