Estonian Ministry of Social Affairs plans performance-based funding to reduce ER visits

The Estonian Ministry of Social Affairs is planning to introduce performance-based funding in healthcare. The initiative aims to reduce the number of patients turning to emergency departments for non-urgent care. The reform would redirect patients toward more appropriate primary care settings.

The Estonian Ministry of Social Affairs is developing a performance-based healthcare funding model with the goal of reducing the number of people unnecessarily visiting emergency departments across the country.

The proposed reform would tie healthcare funding to measurable outcomes, incentivising medical providers to manage patient care more effectively before conditions escalate to the point of requiring emergency intervention. Officials hope that by rewarding preventive and primary care results, the pressure on hospital emergency rooms can be significantly reduced.

Emergency departments in Estonia have long faced overcrowding, with a significant share of visits considered non-urgent and more appropriately handled by family doctors or outpatient clinics. Performance-based funding models have been tested in several European countries as a way to address this structural challenge.

The Ministry has not yet announced a specific timeline for the rollout of the new funding system, but the planning process is currently underway. Further details on how performance targets would be defined and measured are expected to follow as the reform takes shape.