The Government issued a new decree (117/2020/NĐ-CP) on September 28 to replace the old one (176/2013/NĐ-CP issued in November 2013) to adjust punishments for administrative violations against medical laws.

The new decree, which has four chapters and 117 articles, deals with administrative violations, penalties, remedial measures and the authority of handling punishments in medical sector.

Administrative violations against medical laws are defined as wrongful acts committed by organisations and individuals that contravene medical laws but do not constitute criminal offenses and are punishable with administrative penalties, including: Violations against regulations on defensive medicine and prevention of HIV/AIDS; violations against regulations on medical examination and treatment; violations against regulations on pharmaceuticals, cosmetics, and medical equipment; violations against regulations on health insurance; and violations against regulations on population.

Illustrative image (Source: Internet)

The administrative violations are listed from Article 80 to 95. There are 15 specific violations that incur penalties. These include:

- Violations against regulations on health insurance.

- Violations against regulations on including external people in the payroll to obtain health insurance.

- Violations against regulations on incorrectly certifying health insurance premiums paid by policyholders.

- Violations against regulations on making and sending the list of health insurance policyholders.

- Violations against regulations on using health insurance cards in medical check-up and treatment.

- Making fictitious medical records or giving fictitious prescriptions.

- Violations against regulations on management of drugs, medical supplies, technical services, sickbed costs, and other costs of medical examination and treatment covered by health insurance.

- Infringements of the benefits of policyholders.

- Violations against other regulations on payment for medical costs covered by health insurance.

- Violations against regulations on health insurance contracts.

- Offering benefits inconsistent with health insurance cards.

- Violations against regulations on health insurance reporting.

- Improper provision of information about health insurance cardholders.

- Improper provision of information about provision of benefits for patients at medical facilities or direct payment to policyholders.

- Late submission of statements of medical costs covered by health insurance.

All administrative violations regulated in the decree are subjected to administrative fines of VND200,000 to VND70 million depending on the level of violations and damages.

The maximum punishment has been adjusted from VND50 million to VND70 million.

Violations against regulations on management of drugs, medical supplies, technical services, sickbed costs, and other costs of medical examination and treatment covered by health insurance shall face the toughest penalty level.

Any entity that overstates the quantities of drugs, medical supplies, technical services, and other services that are not used by the patients shall be liable for the highest penalty of VND70 million if the overstated value is VND60 million or more.

Any entity that provides inadequate drugs, substances, medical supplies, or technical services during medical examination and treatment covered by health insurance shall be liable to a maximum fine of VND50 million applied for violations worth VND160 million or more.

Other violations facing a fine of up to VND50 million are incorrectly certifying the health insurance premium paid by policyholders if the incorrect amount is VND150 million or more; failure to declare or sufficiently declare drug prices as prescribed by law if the violation level is worth VND120 million or more.

The new decree also mentions penalties imposed on behaviour that hinders medical check-up and treatment covered by health insurance but does not cause a loss to the health insurance fund and does not affect the benefits of policyholders; abuse of covered medical services such as excessive use of drugs, substances, supplies, and medical services that affects the benefits of health insurance cardholders, the health insurance fund, or medical facilities.

Violators are required to return the illegal money to the account of the health insurance fund, the medical facility or cardholders.

If they fail to return the funds, they must send the money to the State budget following laws.

The new decree will take effect from November 15. Administrative penalties on preventive health came into force on September 28./.