HSA: No payment so far from CGI

Steve Scott

Tuesday,  May  31, 2005

In further developments concerning the Health Services Authority’s demands to the local insurance sector to pay up on outstanding hospital bills, the Authority’s legal counsel has said that some of the companies that were sent demands and served writs have begun to sort out the outstanding payments except from Cayman General Insurance (CGI).

The Government bailed out the local firm after it lost its Best Rating over the massive claims bill it faced in the wake of Ivan, but the firm has not paid any of its outstanding debts.

“Although we have managed to come to satisfactory conclusions with most of the insurance companies with outstanding claims, and have received or are receiving payment, we have received nothing from Cayman General Insurance,” said Keith Myers, the HSA’s Legal Counsel. “Perhaps the cheque must be in the post as the saying goes,” he added.

Cayman General Insurance is one of four local insurance companies the HSA is seeking to recoup funds from. British Caymanian and Generali, both of whom have sorted out their payment issues, and British American, are the other firms involved. 

CGI has insisted that there are no valid overdue claims owed to the Hospital and that the firm holds evidence to support the fact.

The battle between the HSA on behalf of the hospital’s outstanding claims is tied up with the financial difficulties George Town Hospital is facing. 

The hospital has reported some $4 million of outstanding claims, which the HSA badly needs. In recent months the hospital has faced resignations from senior doctors and personnel and is struggling to recruit new doctors. The struggle can be attributed to the fact that so many doctors come from the UK and the decline in the US dollar and in turn the value of the Cayman dollar against the British pound, makes the Cayman Islands less attractive than in the past for senior medical personnel.

The latest battle the HSA is fighting is over fee splitting with the private sector doctors who practice at George Town Hospital. The doctors believe that the hospital should be increasing its fees and not taking money from them, whereas an HSA spokesperson said: “It is unfair that private sector doctors use the facilities and equipment in George Town Hospital without making any contribution whatsoever.”

Meanwhile in other health related news it has been reported that the Chairman of the HSA Steve Scott, who is also secretary of the defeated United Democratic Party, will be stepping down from his position. It is also known that the UDP’s deputy Co- Chairman Ezzard Miller has already resigned his post as Chairman of the Immigration Work Permits Board. 

It is normal throughout most democratic countries that when a political party is defeated, the political senior board appointees, usually as a matter of protocol resign their positions.

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