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The purchaser-provider split: implications for dental services.

T Ashton

    The New Zealand Dental Journal
    |October 1, 1992
    PubMed
    Summary
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    New Zealand

    Area of Science:

    • Public Health Policy
    • Health Services Management
    • Healthcare Economics

    Background:

    • The New Zealand government proposed a major restructuring of its public health system in July 1991.
    • A key element involves separating the purchasing and providing functions of area health boards.

    Purpose of the Study:

    • To analyze the potential obstacles and efficiencies of separating purchasing and providing roles in the public health system.
    • To explore the implications for dental health services, including flexibility and alternative providers.

    Main Methods:

    • The paper examines the theoretical benefits of a competitive market model for public health services.
    • It discusses practical challenges and factors influencing service delivery under the proposed reforms.

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    Main Results:

    • The separation of purchaser and provider roles may face practical obstacles despite theoretical efficiency gains.
    • Greater flexibility and alternative provider options are anticipated for state-funded dental services.

    Conclusions:

    • Successful implementation depends on factors like provider unit structure, contractual arrangements, and regulatory oversight.
    • Regional health authorities will face challenges in monitoring contract quality and costs effectively.