Taxpayer group says privatize troubled CNAM

A potential political conflict over both the French health insurance budget and a proposed regime of patient charges has erupted following a council meeting of the national sickness insurance funds (CNAM). The problems stem from the higher-than-forecast 2007 deficit of 6.4 billion euros ($8.76 billion) in the social security system that is responsible for the reimbursement of health care spending, including prescription drugs.

Frederic van Roekeghem, the CNAM's Director, presented his plans to the council meeting for spending cuts of about 3.8 billion euros for 2008. Representatives of both employer federations and labor unions "took note" of the proposals, effectively distancing themselves from them.

In response to the continued difficulties of the CNAM and the ever increasing fiscal measures aimed at subsidizing it, Contribuables Associes, a taxpayers' group, welcomed some measures, such as removing aspirin and paracetamol from the list of reimbursable drugs, as well the end of subsidized thalassotherapy cures, which have been notoriously exploited by some people as tax-funded seaside holidays.