SphereMD Now Open in Panama
Portland, OR U.S.A—In an ongoing effort to provide full service medical services to the worldwide shipping industry, SphereMD now has a network of medical professionals who provide routine as well as complex medical and dental care in Panama. SphereMD has compiled a summary of the unique aspects of Panama’s medical market, the Company’s service goals in Panama, and recommendations for ship owners, managers, and operators in the region.
Understanding Panama’s Medical Market
Compared to the U.S. medical market, Panama’s government does not provide oversight to control prices. However, Panama’s physicians are generally well trained. Additionally, many Panamanian hospitals are internationally certified and receive U.S. level hospital certification from bodies such as The Joint Commission on Accreditation of Hospitals (JCAH). However, the smaller hospitals may not meet the rigid standards of such certification. Panama’s medical market differs in key ways for hospital services, physician’s fees, commissions, and the use of medical brokers and intermediaries. Here’s a quick rundown:
- Hospital services: Compared to U.S. hospital services, Panamanian hospital fee schedules and prices are generally lower. However, significant savings may result by managing hospital services by insisting on medical management with any hospitalized patient to decrease utilization.
- Physicians’ fees: In the United States, laws require each doctor to charge all patients the same price, and doctors use standardized codes and medical notes to justify charges. In Panama and in most of Central and South America, there are no laws that require physicians use insurance codes or provide detailed medical records.
- Commissions: Documented cases show medical brokers and intermediaries receive up to 20% or more of medical charges. This type of commission drives up costs for ship owners and may be a conflict of interest.
- Third parties: Third parties in Panama may add additional costs to some of the issues mentioned. For instance, a third party may increase medical costs by receiving discounts from hospitals and doctors and then overcharging for those services.
As you can see, working with medical staff and facilities in Panama requires a slightly different approach than in the United States or Europe. Therefore, while markets differ from country to country, the key is to control medical costs before any care is rendered, and to start with your P&I Club or medical manager who knows the market firsthand.
Meeting Service Goals in Panama
Based on firsthand experiences, SphereMD identified the following actionable goals for managing medical services in Panama. Ship owners can follow these goals, as well:
- Keep routine care routine by using P&I Clubs and medical managers who have a network of trusted Panamanian
- Avoid elective care in Panama to reduce medical services costs.
- Opt for repatriation for treatment when medically appropriate.
- Decrease the length of hospitalizations by insisting on medical management with any hospitalized patient.
- Require providers to deliver clear legible records and reports in a timely manner.
By choosing SphereMD as a medical partner, you are choosing to use trusted physicians and certified hospitals, and to control costs while ensuring the best medical care while in Panama.
Taking Precautions
If a crew member needs medical services in Panama, you can help keep costs under control by being proactive:
- Insist on a proof of payment settlement to the hospital before paying a hospital bill.
- Insist on paying individual providers and hospitals directly—don’t pay third parties in Panama who provide doctor and hospital services on one invoice without first vetting the invoice with your P&I Club.
- Contact your P&I Club or a trusted medical manager—don’t ask your agent to arrange for medical care because it could cause a conflict of interest.
Learning More
Like all medical markets, understanding the system is key. SphereMD has cultivated a strong understanding of medical markets through firsthand experiences, which we are happy to share. Contact us at operations@spheremd.com if you have any questions or would like more information, including summaries of real case experiences that support our findings.
SphereMD specializes in coordinating, managing, and reviewing medical cases in an ethical, transparent, and cost-effective manner. We yield tangible and significant financial benefits to our clients while ensuring that your crew members receive the highest quality of care possible, every day of the week, 24 hours a day, 365 days a year. 