Economic Results of Health Insurance Companies

Introductory note

This publication includes selected indicators from the processing of the quarterly statistical questionnaire Zdp 3-04 filled in by incorporated businesses whose principal activity is the activity of health insurance companies (CZ-NACE group 75.3).

The activity of the health insurance companies in the CR is regulated by laws on the Všeobecná zdravotní pojišťovna ČR (VZP ČR; General Health Insurance Company of the CR) and on employees’ (branch) health insurance companies. In accordance with these laws, the health insurance companies are bearers of public health insurance for health insurance policyholders they register.

This statistical publication contains preliminary results for the fourth quarter of 2005 and and the whole of 2005 and comparable data for the corresponding period of 2004. What is meant in particular is the “Accrual-based insurance premiums” (i.e. “Premiums written”) and “Costs of health care” from which contractual and additional health insurance was deducted. The accession of the Czech Republic to the European Union changed the insurance system: the VZP ČR’s commercial products have been taken over by the VZP ČR’ subsidiary (Pojišťovna VZP) and contractual partners—commercial insurance companies (Česká podnikatelská pojišťovna, a.s. and Hasičská pojišťovna, a.s.).

Attached are also brief analytical comments to characterize development tendencies of key indicators on health insurance companies in the fourth quarter of 2005 and the whole of 2005, in comparison with the corresponding period of 2004, and methodological notes on the indicators in the tables. The reader’s attention is drawn to the fact that the publication releases and uses for comparison data for 2004 adjusted on the basis of additional refinement (corrections) made by the health insurance companies.

When interpreting and using the indicators presented in this publication, one should bear in mind that due to the deadline for the submitting and processing of the statistical questionnaire Zdp 3-04 (by the 27th calendar day following the end of the reference quarter), which comes earlier than the closing date of the accounts of the reporting units, the units are allowed by the methodological notes in the questionnaire to use informed guesses for reporting those statistical indicators which are defined with regard to accounting indicators or derived from them. The guesses are then updated by means of a retro-correction system: the reporting units can submit, along with the questionnaire for a current quarter, corrections (refinements) of the estimated data for all the previous quarters of a current year.

Compared to 2004, the statistical questionnaire Zdp 3-04 for year 2005 was extended to also measure some financial indicators already existing and brand-new indicators to meet the duty of the Czech Republic to compile quarterly financial accounts as requested by EU directives resulting from Regulation (EC) No 501/2004 of the European Parliament and of the Council of 10 March 2004 on quarterly financial accounts for general government .

Furthermore, methodological amendments to and subject-matter changes in the names of the questionnaire divisions were made. The division ‘Financial indicators from 2004’ was split into two: ‘Revenues and creation of funds’ and ‘Costs and drawing on funds’. The statistical survey of costs and revenues of health insurance companies was also changed compared to 2004. Since 2005 these have been measured without premiums, costs of health care and without clearing with the special health insurance account. The division ‘Revenues from insurance premiums from 2004 ‘ has been renamed to ‘Revenues from insurance premiums and fixtures’ due to the methodological change.