Japan med reform bill passes Lower House

Japan's medical reform bill, consisting of revisions to the Health Insurance Law and the Medical Service Law and mainly aimed at capping the growth of medical costs, has passed the House of Representatives. The bill will now be sent to the House of Councilors to be approved during the current Diet (parliament) session.

The bill calls for increases of the co-payment for people aged 70 or older with over a certain amount of annual income from 20% to 30%, starting in October this year, and the co-payment for those aged 70-74, with a defined annual income from 10% to 20%, commencing in the fiscal year 2008.

In addition, the bill will introduce a new health insurance program independently for those aged 75 or older, and 65-74 in the fiscal year 2008. The bill also allows the expansion of "mixed-medical treatment" (health insurance-covered and non-covered medical treatment to be conducted simultaneously).