Question

Analyze and discuss various financing approaches of healthcare plans and healthcare financing.

Answer 1

Answer: Health care system in USA is very big. Health care is mostly owned by private sector. Hospitals operate not for profit but for service and care. There are so many technological advancement in the healthcare system in USA but it is expensive.

Healthcare system requires capital and funding to accomplish its goals. There are two types of health care coverage; Public coverage and private health insurance. Cost of health care is higher in USA as compare to other countries. Payment and funding of health care services is done by:

Government plans such as Medicare and Medicaid- These are the main healthcare programs, run by Government:

• State children's health insurance program.
• Children and youth with special healthcare needs.
• Veterans health administration.
• Indian health service.
• Federal employees health benefits.
• Refugee health promotion program.

Private health insurance plans (through employer)- There are for profit and not for profit companies for private insurance. Both employees and employer contribute in private health insurance programs. Individuals can also purchase private insurance by themselves through private companies.

Individual's own money from the pocket- When health care is not covered by either Government or private insurance companies, people have to pay the bills out of their pockets. People either uses their savings to pay the bills or use credit cards.