Southern Cross to cover pharmacy surcharges for members
The Pharmacy Guild of New Zealand (the Guild) appreciates the support Southern Cross Health Society is showing community
pharmacy by reimbursing any surcharges their members with eligible policies have incurred from a pharmacy.
Community pharmacies around New Zealand are currently in a position where 5 out of 10 medicines are dispensed at a net
loss and this continues to grow. A number of pharmacies are being forced to pass on un-met costs to patients where the
medicine margin is insufficient to cover the full cost of getting that patient’s medicine into the pharmacy. Under the
current funding model this is the only choice for many pharmacies to remain viable and to ensure the valuable services
they provide to patients in their communities remain available.
Southern Cross has agreed to cover surcharges their members incur from pharmacies due to this issue. Guild Chief
Executive, Lee Hohaia says “We are extremely appreciative of this show of support from Southern Cross. At this point in
time support from the wider health sector is extremely valuable and demonstrates the value other health care providers
see in community pharmacy services.
“We also appreciate Southern Cross alleviating this financial burden from their members. Community pharmacy does not
want to pass on extra charges to patients but for many pharmacies there is no other option when funders will not meet
the full cost of service provision.
“Currently DHBs do not support community pharmacies passing on un-met costs to the patient. When providers such as
Southern Cross do see the value in this, and understand the need for such charges to ensure pharmacy services are
sustainable, it is hard to understand why DHB funders will still not support these surcharges.”
Pharmacy software Toniq and LOTS now have IT infrastructure in place to allow Southern Cross to utilise their Easy-claim
system. This means Southern Cross members with eligible policies do not have to pay any upfront costs and Southern Cross
will pay their members’ providers directly. Easy-claim is currently available in 607 pharmacies around New Zealand.
ENDS