Japan OKs bills for full coverage of childbirth costs

The bills on medical insurance system reform also feature a program asking patients to make additional payments for prescription medicines whose ingredients and effects are similar to those of over-the-counter medicines.

The government aims to have the Diet, the country's parliament, pass the bills during the ongoing session.

Currently, public medical insurance does not cover childbirth except for cesarean sections. Instead, the government launched a lump-sum childbirth allowance program in 1994. The existing lump-sum childbirth allowance is set at 500,000 yen, but it may not be enough.

Against this background, a nationwide uniform price for childbirth costs will be set, and the full amount will be covered by insurance, as part of efforts to address the country's declining birthrate.

Uniform price levels for childbirth will be set after the bills are passed, and the new system will be introduced by fiscal 2028 at medical institutions capable of implementing it.

Meanwhile, additional payment for OTC-like drugs is aimed at reducing medical costs. Specifically, 25 per cent of the cost of medicines will be collected as a special fee not covered by insurance, and the rest will be paid out of pocket at rates of 10-30 per cent depending on insurance coverage.

The program is scheduled to be implemented in March 2027, covering about 1,100 items containing 77 ingredients, including poultices and hay fever drugs. Children and patients with intractable diseases will be exempted from the additional burden.

For those aged 75 or older who are enrolled in the medical care system for the elderly, a system will be established to reflect financial income, such as stock dividends, in insurance premiums and out-of-pocket expenses. The system will start by fiscal 2031.

[Copyright The Jiji Press, Ltd.]