1.7_CH4Overview of US Healthcare System

Page 1: Introduction to the U.S. Health Care System

  • Course Title: U.S. Health Care System PHLT 412

  • Source: Essentials of health policy and law (5th ed.) by Wilensky, S. E., & Teitelbaum, J. B.

  • Overview: This chapter serves as a foundation for understanding the U.S. health care system, setting the stage for discussions on various components including finance, access, and quality of care.

Page 2: Chapter Overview

  • Key Objectives:

    • To provide a general understanding of the workings of the U.S. health care system.

    • Focus areas of Chapter 4:

      • Health care finance

      • Healthcare access

      • Healthcare quality

      • Comparative Health Systems

Page 3: Understanding Health Systems

  • Definition of Health Systems:

    • A complex network of stakeholders including providers, patients, and insurers involved in delivering health care.

Page 4: Identifying Issues in Health Care

  • Key Problems Noted:

    • Challenges in availability, affordability, and quality of health services.

    • Issues pertaining to insurance coverage and access to good medical care.

    • Presence of profit-driven motives in a system aimed at health care delivery.

Page 5: Health Care's Iron Triangle

  • The Iron Triangle of Health Care:

    • Quality: The level of care provided.

    • Cost: The expenditure associated with health care services.

    • Access: The ability of individuals to obtain health care services.

Page 6: U.S. Health Care System Characteristics

  • Comparative Insights:

    • Unlike other developed countries, the U.S. lacks a unified health care system.

    • High per capita expenditure on health care, but ranks low on significant health outcomes.

    • Notable inefficiencies due to lack of coordination within the health care system.

Page 7: Healthcare Finance - Expenditure Overview

  • Expenditure Statistics (2019):

    • Total spending: $3.8 trillion or approximately $11,582 per person.

    • National health expenditure constituted 17.7% of the GDP.

    • Projections indicate spending could near $6.1 trillion soon.

Page 8: Historical Health Expenditures

  • Total Health Expenditures (1970-2021):

    • Significant growth observed from $500 billion in 1970 to substantial current levels.

    • Constant dollars are utilized for accurate historical comparisons.

Page 9: Per Capita Health Expenditures

  • Per Capita Spending (1970-2021):

    • Increase from modest figures to $12,914 per capita by 2021.

    • Highlights the exponential growth in individual health care costs over the decades.

Page 10: Contribution to Expenditures by Service Type

  • Breakdown of 2021 Expenditures:

    • Hospitals: 31.1%

    • Physicians & Clinics: 20.3%

    • Retail Prescription Drugs: 8.9%

    • Remaining expenditures distributed among services such as nursing care, dental services, and more.

Page 11: Insurance Coverage Landscape

  • Health Insurance Statistics (2022):

    • Approximately 93% of the population had some form of health insurance.

    • Notably, 8.4% or 27.6 million Americans were uninsured, a decrease from previous years.

Page 12: Trends in the Uninsured Population (2010-2020)

  • Historical Uninsured Rates:

    • Fluctuation in the percentage of uninsured, peaking at 18.2% in 2010 and gradually decreasing thereafter.

Page 13: Uninsured Rates in Recent Years

  • Uninsured Population (2019-2022):

    • Significant decline in uninsured rates, with adult figures dropping yearly, highlighting improvements in access to insurance.

Page 14: Types of Health Insurance Coverage

  • Insurance Coverage by Age (2019):

    • Categories segmented into uninsured, public, and private coverage for different age groups, demonstrating disparities in coverage.

Page 15: Roles within the Insurance System

  • Key Players in Insurance Process:

    • Insurance Company: Establishes plans, sets rates, covers consumer costs.

    • Consumers: Choose providers, may pay costs out-of-pocket.

    • Providers: Offer services and receive payments based on insurance plans.

Page 16: Direct Service Financing

  • Government-Funded Programs:

    • Programs providing direct care include Federal Qualified Health Centers (FQHCs), HIV/AIDS programs, and Family Planning initiatives.

Page 17: Understanding Access to Health Care

  • Definition of Access:

    • Refers to the capacity to obtain required health services effectively.

  • Barriers to Access:

    • Include socioeconomic factors such as income level, employment status, age, etc.

Page 18: Factors Affecting the Uninsured

  • Characteristics of the Uninsured:

    • Impacted by income level, employment status, age, education, racial and ethnic backgrounds, and geographic location.

Page 19: Uninsured vs. Underinsured

  • Comparison Characteristics:

    • Differentiate between issues faced by uninsured vs. underinsured individuals regarding access to care and financial stress.

Page 20: Coverage Limitations

  • Barriers Related to Insurance Coverage:

    • High costs such as co-payments and premiums lead to individuals being underinsured or uninsured, limiting access to care.

Page 21: Workforce Issues in Health Care

  • Provider Shortages:

    • Emphasizes shortages in primary care, particularly in rural regions exacerbated by ACA changes.

  • Distribution of Providers:

    • Uneven distribution across demographics leading to accessibility issues.

Page 22: Quality of Health Care in the U.S.

  • Health Care Quality Discrepancies:

    • High spending does not equate to high-quality outcomes, with significant attention on preventive care deficiencies.

Page 23: Overview of Comparative Health Systems

  • Types of Health Care Systems:

    • Distinct systems include:

      • Publicly financed, privately delivered (Canada)

      • Publicly financed and delivered (Britain)

      • Socialized insurance (Germany)

Page 24: Patient-Centric Issues in Health Insurance

  • Key Design Issues:

    • Affordability, access variations by income, wait times, choice, complexity in interaction with insurance, and overall patient satisfaction.