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Market and Costs of Kela-Reimbursed Taxi and Ambulance Fares

Published 1.1.2023Edited 7.3.2024

Kela reimburses customers for some of the costs of travel to public or private health care. In 2021, the travel costs of reimbursements for medical care amounted to approximately EUR 311 million. The project focuses on the taxi or ambulance journeys made. Journeys made by taxi account for slightly more than half of the costs related to Kela’s travel expenses, and travel expenses made by ambulance account for approximately a quarter of all costs.

The first two sub-studies examine the market and costs of these two modes of transport and their changes over the past 10 years. The third sub-study examines the price elasticity of travel expenses. We will examine how meeting the annual travel ceiling for customers affects their use of taxi and ambulance journeys. The fourth sub-study develops geospatial calculation methods for estimating the cost impacts of changes in the service network. The study uses the register data of Kela’s data repositories on Kela-reimbursed journeys and the purchases of medicines by those who have made the journeys. In addition, public materials on the procurement of ambulance services by Kela and hospital districts or wellbeing services counties will be used.

Accurate information on the impacts of Kela journey purchases, the market for reimbursed ambulance transportation, the price elasticity of reimbursed journeys, and the cost impacts of changes in the service network will help decision-makers to assess the functionality of the travel compensation system and the effects of the changes made to the system, and to plan future changes in such a way that the availability of reimbursed trips to those who need them is secured at an affordable price.

Researchers

Project Implementation Period

1.1.2023–31.12.2025

Cooperation Partner

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