Date:

Time:

Reporter:

26.11.86

8.30 am 12.15 pm

CNB

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MR CHEONG:

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MR CHEONG: Yes.

DFS: We have already decided not to subvent medical organisations for taking out insurance in this respect with effect from 1st April 1987. I'm quite sure that the Director of Medical & Health Services is considering this whole question in the context of discussions that are going on with the possibility of

the setting-up of a hospital authority.

Good. Since Government is such a big

employer and has to cover so many other things, would you say that the principle of as far as possible to carry the risk itself would

be further examined into other areas?

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DFS: Yes. There is another area where we have already

achieved some progress since this was last discussed in PAC. With regard also to subvented medical organisations, it has been agreed that should buildings be damaged or destroyed by fire, typhoon, etc, the organisations, the medical organisations, may in future rely on Government making good the damage or replacing the buildings provided that Government acknowledges the continuing need for the

service and that the repair or replacement is on a no-frills basis.

This means that these organisations would be able to make their own.

decision as to whether or not to use their own funds for certain

insurance of this type in future.

subject?

CHAIRMAN: Any further questions from members on this

Now I'd like to say, DFS, that some progress has been 30 made on this subject and I'm sure that if you continue to work on

this insurance premium subject, eventually we will put this subject

to bed.

DFS: Thank you very much, Mr Chairman.

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CHAIRMAN: The hearing will have a break until 10.30.

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