Overview of the U.S. Health Care System American Medical Student Association.

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Presentation transcript:

Overview of the U.S. Health Care System American Medical Student Association

Coverage Health Insurance Coverage of the Non-elderly Population, 2003 Source: Kaiser Commission on Medicaid and the Uninsured (KCMU) and Urban Institute analysis of the March 2004 Current Population Survey

Profile of the uninsured  47.0 million Americans  81% from working families  52-59% from low-income families (200% FPL)  80% are adults  50% are ethnic minorities  79% are American citizens Source: Kaiser Commission on Medicaid and the Uninsured Source: US Census Bureau

Employer-sponsored insurance  Offered by employers as part of benefits package  Administered by private insurance companies (for-profit and non-profit)  Employer pays bulk of premium; employee pays remainder  Significant erosion of employer-sponsored insurance in recent years

Individual insurance  Purchased directly by people who do not get coverage through their employers  Non-group (individual) plans  Premiums based on individual health risk  High-risk individuals with limited access  Administratively expensive

Medicare  Covers elderly (ages 65 and older) and nonelderly with disabilities  Administered by the federal government (essentially a single-payer system)  Financed through:  Federal income taxes  Payroll taxes  Out-of-pocket payments by enrollees

Medicare  Four parts:  Part A – hospital insurance  Part B – supplemental insurance  Part C – managed care  Part D – prescription drugs  Significant coverage gaps - most enrollees obtain supplemental insurance  Spending growth generally slower than private insurance  Aging population and increased technology presents challenges for the future

Medicaid  Covers certain low-income individuals; not every poor person is covered!  Administered by state governments  Often out-sourced to non-government administrators  Financed jointly by the state and federal governments  Benefits are fairly comprehensive, but many providers won’t take care of Medicaid patients

State Children’s Health Insurance Program (S-CHIP)  Supplements Medicaid by covering low-income children who are ineligible for Medicaid  Administered and financed similarly to Medicaid  Similar problems to Medicaid:  Low reimbursement rates → some providers refuse to accept S-CHIP  Under-enrollment  Eligibility varies by specific populations and states

Other public insurance programs  Veterans Health Administration  Health benefits plan available to all veterans  Services delivered through VA health care facilities (“socialized medicine”)  Financed by the federal government  Indian Health Service

Financing Individuals/Businesses Government Health Service Providers PrivateInsurers premiums taxes direct/out-of-pocket payments Medicare, Medicaid, SCHIP, VA, IHS payments to providers public employees’ premiums subsidies

Financing Individuals/Businesses Government Health Service Providers PrivateInsurers premiums taxes direct/out-of-pocket payments Medicare, Medicaid, SCHIP, VA, IHS payments to providers public employees’ premiums subsidies

Financing Individuals/Businesses Government Health Service Providers PrivateInsurers premiums taxes direct/out-of-pocket payments Medicare, Medicaid, SCHIP, VA, IHS payments to providers public employees’ premiums subsidies

Financing Individuals/Businesses Government Health Service Providers PrivateInsurers premiums taxes direct/out-of-pocket payments Medicare, Medicaid, SCHIP, VA, IHS payments to providers public employees’ premiums subsidies

Financing Individuals/Businesses Government Health Service Providers PrivateInsurers premiums taxes direct/out-of-pocket payments Medicare, Medicaid, SCHIP, VA, IHS payments to providers public employees’ premiums subsidies

Financing Where the Health Care Dollar Came From, 2003 Source: Centers for Medicare & Medicaid Services, Office of the Actuary, National Health Statistics Group

Financing Public versus Private Spending, 2003 Source: OECD Health Data 2005 public private

Financing Where the Health Care Dollar Went, 2003 Source: Centers for Medicare & Medicaid Services, Office of the Actuary, National Health Statistics Group

Total Spending on Health Care, 2005 Source: OECD Health Data 2007 International perspective

Health Care Spending per Capita, 2005 Source: OECD Health Data 2007 International perspective

Health status and outcomes Life Expectancy at Birth, Source: OECD Health Data 2007

Health status and outcomes Infant Mortality, Source: OECD Health Data 2007

The patchwork employer- sponsored VAMedicare individual employer- sponsored IHS Medicaid SCHIP Medicare VAMedicare employer- sponsored Medicaid