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Health Ministry to Halt MDA Strong Arm Collection Tactics


Health Ministry officials are working to change the arrangement by which persons benefiting from Magen David Adom emergency ambulance services cannot be harassed by collection services if payment has not been made. The new plan will enforce an arrangement made a number of years ago in which the recipient of service makes payment to one’s health fund, taking MDA out of the picture. More importantly, the ministry wants MDA to begin working with another collection agency, instructing it to lower the fines levied on debts as well as limiting the action MDA can take against citizens in an effort to receive payment.

The ministry reprimanded MDA’s collection methods and emphasized the “inappropriate and aggressive behavior” by collection companies against patients has reached unacceptable levels.

According to the information released by the YEDID (Friend) non-profit organization, which is providing legal services to the ministry, 250,000 citizens of Israel owe MDA 300 million NIS. A third of that sum has been handed over to an attorney for collection. In response to requests for assistance received from many citizens, the non-profit became involved and is now addressing the warning letter sent to citizens, a letter which YEDID feels is highly inappropriate, referring to it as the “terrifying letter”.

Deputy Health Minister Yaakov Litzman, who maintains ministerial authority, is playing hardball with MDA, informing the EMS organization that until such time it changes its methodology, the ministry will halt all funding to MDA.

This is not a new issue for the Knesset Ombudsman Committee addressed it back in 2010 but mounting complaints from citizens has made the matter a priority once again, compelling the involvement of the ministry and Litzman. The committee decided payment would be made to the HMO but it appears the “terrifying letters” are still being sent to citizens, letters that warning of foreclosure on property towards securing the debt due the emergency service. Actually, in some cases it has exceeded the warning stage and agents have confiscated property.

One case cited involves Alona (fictitious name) whose son was assaulted a number of years ago near his grandmother’s home. Well-intending passersby summoned and ambulance but the victim politely declined to be transported to a hospital. Nevertheless, he received a bill from MDA for 900 NIS. Ultimately, 1,100 NIS was taken by MDA legal officials from the bank account of the victim’s grandmother which was followed by warning letter that stated “this is a warning before continued enforcement action against you”.

Two weeks ago, an official from state collection services, an agent of the court, arrived at Alona’s home demanding 1,300 NIS. He presented a document from an attorney’s office explaining she must pay within an hour. She explained “the money was already taken from the bank account of my mother”. He was genuinely uninterested and reported if he is not paid he will return in an hour with police and he has the authority to confiscate items from the home towards satisfying the debt.

Another case cited by Ynet involved a single mom from the Ethiopian community, a woman with five children who survives with state monthly supplemental income. She explains her original bill to MDA was 540 NIS but the collection official, armed with a letter from the same attorney, demanded 1,927 NIS, explaining there was the matter of interest and legal fees. She explained the statue of limitations on the sum had long passed. He did not wish to hear it and entered the home and began taking items while the children looked on in horror.

Ran Melamed, the deputy director of YEDID wrote a letter to Deputy Minister Litzman explaining that while the Knesset committee modified the payment method vis-à-vis MDA back in 2010, part of the new collection procedure has failed and it is taking a high toll on residents, who are subjected to “abusive and aggressive collection policies”.

After meetings with HMO officials, the Health Ministry announced it is taking immediate steps to bring an end to current collection practices.

In response, MDA states “In many cases, payment is made via the HMOs but many services [provided by MDA] are not insured by the HMO. Even in these cases, MDA does not immediately rush to turn to collection agencies but at times, there is no other alternative.”

“Contrary to what is implied by the name YEDID, MDA is self-financed and not by government support, compelling the need for collection services from those who refuse to pay.”

(YWN – Israel Desk, Jerusalem)



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