Patients face bills of up to 1.5 million for back surgery

Patients have been asked to pay for back operations themselves after a private provider exceeded its contracted number of procedures, mbl.is reported. Orkuhúsið’s managing director, Dagný Jónsdóttir, said Icelandic Health Insurance threatened to terminate its agreement with the healthcare company over the arrangement.

Jónsdóttir said about 120 people are waiting for back surgery at Orkuhúsið, although the company has operating rooms and staff available. She said some patients need urgent treatment and that delays could cause permanent harm.

The contracted number of operations was reached at the end of May. Icelandic Health Insurance wanted Orkuhúsið to spread the procedures over 12 months, but Jónsdóttir said the company could not justify making patients wait when it was able to treat them.

Long-term agreements made in 2025 provide for about 170 back operations a year by private providers, subject to funding. Orkuhúsið had initially been authorised to carry out just over 100 operations this year. Jónsdóttir said demand could be 350 to 400 procedures annually to prevent a waiting list from forming.

The 120 people on Orkuhúsið’s list have already been assessed by a doctor. Others may still be waiting for an assessment, so the total need is not yet clear, she said.

Orkuhúsið began performing back operations before it had an agreement with Icelandic Health Insurance, in cooperation with doctors at Landspítali hospital. Jónsdóttir said the doctors had sought help because they could not meet demand, citing limited access to operating rooms and staff shortages.

When the contracted number of operations was used up, Orkuhúsið decided to offer patients the option of paying for surgery themselves. Jónsdóttir said the company informed Icelandic Health Insurance of its decision.