Single Payer System

1000 Words 4 Pages
United States of America and Canada are both highly developed countries bordering each other, yet they have two completely different healthcare systems in place for their citizens. The United States has a multi payer, heavily privatized system while Canada has a single payer, mostly publicly funded system. Public health expenditures are carried out by national and local government and public sector enterprises while private expenditures are carried out by individuals and businesses that are not government owned. The ongoing debate over which system works better has been in public interest for years. The Canadian single payer system is often endorsed as an example of the improvements in health outcomes, savings in costs, and better distribution …show more content…
This system has often different types of cost containment which may be offered by different health insurers such as various sizes of deductibles or co-payments which would affect quantity of services delivered. Until 2010 United States of America had two main government funded health insurance programs. The first program is Medicare; it was administrated by the federal government in 1966. Medicare provides free health insurance for American citizens aged 65 and older who have worked and paid into the system. It can be referred to Canada’s single payer system but with age restriction. The cost of Medicare in 2013 was 536 billion USD. The second program is called Medicaid. Medicaid is a health care program for families and individuals with extremely low income and limited resources. This is a free government health insurance for legal residents with low income of 133% of the poverty line. The cost of Medicaid in 2011 was 414 billion USD. was The rest of American population who are not eligible for these plans must get health coverage from private health insurance companies. In 2014 PPACA (The Patient Protection and Affordable Care Act) was introduced. This act was created to increase the quality and affordability of health insurance, lower the uninsured rate by expanding private and public health coverage. This was the most significant regulation of the healthcare system since the …show more content…
This act was created to increase the quality and affordability of health insurance, lower the uninsured rate by expanding private and public health coverage. Mandates and subsidies were also introduced and implemented in the reform . Under the act, hospitals and primary physicians would change their practices financially, technologically, and clinically to deliver better health outcomes, lower costs, and improve their methods of distribution and accessibility. On March 2015, the Centers for Disease Control and Prevention reported the average number of uninsured during the period from January to September 2014 was 11.4 million fewer than the average in 2010. In order for this Act to work there has been many changes and regulations set by the government. Employer mandates were created. Employers with more than 50 full time employees had to provide free health care benefits for workers. If the employer failed to create such benefits they would have to pay penalties in a form of higher taxes. Subsidies was another method of controlling the uninsured rate, by subsidizing citizens who can not afford health insurance. The money for these subsidies is paid for by higher income citizens with tax increase. Small employers who do not have many employees would still have to provide health insurance plans either from private or government

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