Future hospital rates will phase out the distinction between public or private hospital rooms and insurers may have to abandon charging a premium difference.

Hospital patients using the new acute care wing of King Edward VII Memorial Hospital will all be afforded private room care, and future hospital development will probably follow that trend.

The changes in policy appear to emanate from recent thinking that more than one patient in a hospital room poses certain risks.

A Bermuda Hospitals Board (BHB) spokesman in response to questions from The Royal Gazette, confirmed this week: “All medical/surgical acute care patients will be treated in a private room as part of their standard care.”

But last night, there was still no indication if changing policy would mean that rates would face significant adjustment in the fiscal year beginning in 2015. The hospital rates are reviewed annually not by the Bermuda Hospitals Board, but by the Government and the Bermuda Health Council.

A Government spokesman said last night that fees have typically risen by one or two percent annually.

Perhaps, one of the issues may be that patients occupying beds in the existing facility (the older wing) may not yet all enjoy the benefits of a private room. The departments remaining there include the Cardiac Unit, the Intensive Care Unit, the Maternity Ward and the Children’s Ward.

BF & M vice-president of health, Holly Flook, said: “BF & M and other stakeholders continue to work proactively with the BHB regarding billing rate structure modifications that may surface due to structural changes at King Edward VII Memorial Hospital. Our desire is to work with the BHB to support their institution’s care delivery model going forward.

“To date, BF & M has not been apprised of any billing rate methodology changes that would cause a shift away from the current model of differing levels of coverage by bed type (eg public/private/semi-private).”

Meanwhile, the uncertainty as to how this would affect patient care and billing has led to much speculation. In fact, the executive director of the Bermuda Hospitals Charitable Trust, Ralph Richardson, said there was false information being spread about the new hospital wing. He said there were too many groundless comments circulating, besmirching the achievement of the hospital development.

Mr Richardson said: “What you hear on the talk shows and the general rumours are quite concerning. People are spreading the notion that this (new) wing, with its single occupancy rooms is only meant for the rich. That’s all totally false.

“Some people are saying that it is luxury. People are saying they can’t afford the single rooms and the new wing is designed for the wealthy and medical tourism. It is all a big myth.”

He was referring to the 90 single-occupancy rooms in the three upper level wards at the new acute care wing. He confirmed that every room in the new facility will have its own shower and own toilet.

He explained: “They are all the same and will cost the same price. There is one cost. There is no hospital wing in the world that will be more modern than this one when it is completed.”

Meanwhile, the BHB spokesman did say about the Acute Care Unit patients that: “All insured patients will be fully covered and there will be no co-pay. All uninsured patients will be billed at the public ward rate as they are currently. Government has stated that fees will not increase before March 2015. At that time, Government and the Bermuda Health Council will review the fees as they do annually, and may make changes. BHB does not set hospital fees.”

Mr Richardson added: “The new hospital wing was designed on 21st Century medicine requirements. New hospitals in the US are being built without multiple occupancy rooms. No longer will there even be two people in a room in the new facilities and for a very simple reason.

“Many people in the United States would go into hospital sick and come out sicker. Some even died because of a virus they picked up in the hospital. That is only because they went into a multiple occupancy rooms. So no one in the US right now is going to build a multiple occupancy hospital room. It’s just not done.

“Everyone going into emergency will go into the new wing. Surgery or recovery will be in the new wing. There will be no option. There is a single cost and a single room. Everybody gets the same treatment. The option for multiple people in one room is only a way to make you sick, so we are not going to do that.

“This wing was always designed for single occupancy. It made no sense to do it any other way, from a health point of view.”

The latest annual report on the BHB website lists operating revenues for King Edward alone in the year ending March 2011 at slightly more than a quarter of a billion dollars. Total expenses for the hospital approached $232 million.

Government estimates it will provide close to $110 million to King Edward in the 2014/15 fiscal year.