Fraud In Health Insurance Registration

21 March 2016 Health Insurance

The Ministry of Health has admitted that there have been fraudulent activities in procedures related to the registration of health insurance.

The sources said the Ministry of Health has signed a five-year contract worth KD 3 million with a company for establishing, furnishing and equipping sites in which the company can initiate its work in collecting health insurance fees, as well as the establishment integrated networks for the transmission of information in exchange for the collection of one dinar from each subscriber.

The sources added the company was expected to make KD 650,000 profit annually, but it was found that the ministry extended the contract to 3 more years in addition to giving permission to the company to collect an additional KD 3 fee without obtaining the approval from the authorities and the company made KD 12,720,000 profit during the period of extension, an increase of KD 10,000,770. The sources added the State Audit Bureau has asked for a report on the reasons why the company was granted these benefits and who should be held responsible for loss in revenue for the State Treasury.

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SOURCE : ARABTIMES

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