Americans spend far more per person on the costs of litigation than any other country in the world. The excess of the litigation system are an important contributor to “defensive medicine” – the costly use of medical treatments by a doctor for the purpose of avoiding litigation. As multimillion-dollar jury awards have become more commonplace in recent years, these problems have reached crisis proportions. Insurance premiums for malpractice are increasing at a rapid rate, particularly in states that have not taken steps to make their legal systems function more predictably and effectively. Doctors are facing much higher costs of insurance.
In the United States, health care finance is a vital aspect for health delivery systems to function. The distribution of national health spending has several financing sources, including a major component known as health insurance. The distribution of citizens with health insurance coverage has continually increased throughout the years, however millions still remain uninsured. The establishment of The Patient Protection and Affordable Care Act has expanded health care coverage to millions of Americans, making it more accessible and affordable while decreasing the number of uninsured. One vital aspect of health insurance is employment-based health insurance which is labeled as an accident in history, and remains a cornerstone of the U.S health care system (Blumenthal, 2006).
According to Levey theories” Unaffordable deductibles are also emerging as a major issue for health plans being sold on marketplaces created by the Affordable Care Act. The marketplaces, now in their second year, were designed to help people who don’t get health plans through an employer. Most of the nearly 10 million people in marketplace plans qualify for subsidies to offset their premiums, but deductibles in many plans are thousands of dollars (Noam Levey). Overall, the health care cost should be affordable for people because there are many people who don’t have the money to afford higher medical cost while dealing with other financial problems. Here is statistic that shows the different countries that spends on healthcare.
Healthcare and Drugs in America It is no secret that the cost of American healthcare is on the rise. Already the nation is spending about $1.65 trillion a year on healthcare. That represents 15 percent of gross domestic product, the total output of goods and services. It consumes one-fourth of the federal budget, more than defense. (Allan Rubin) This is due to the factors of expensive technology, less stringent HMO cost management, and more specifically to this paper, rapidly rising drug costs.
Approximately 81 branded drugs expired 2010-2013 ( ) including 30 blockbuster drugs each previously generating over a billion in sales annually. This recent loss of pharmaceutical sales is impacting the drug company’s p... ... middle of paper ... ... the challenges will increase in the prescription drug market. Pharmaceutical companies will seek federal grant and private funding to offset the cost of research and development essential to new drug development. Academic and federal research facilities will increasingly be valuable R&D partners. Policies to reduce the patent approval process in America will be emphasized and international policy on pharmaceutical industry patents will increase in significance with United States focus on ensuring American companies remain competitive.
The current average cost to care for a patient in a nursing home is nine times greater than that of a single dependent child. The price of medical care, in general, has drastically increased. Expensive new technology and procedures are a large part of this increase. The need for these costly new technologies is not expected to decrease, the cost will just be passed on to the public through higher prices and higher Medicaid spending. And finally, an estimated 10 percent of Medicaid payments is wasted on fraud.
Recently President Obama has enacted new Health Care Reforms requiring everyone to have some form of insurance. Many citizens have a problem with being forced to buy insurance that is to expensive; or finding insurance policies that are affordable monthly, but the copays are too expensive to ever be able to use their policies. There is also the issue of some people do not believe in western medicine and have other practices of healing. I feel that it is unfair to make people finically or morally burdened by forcing them to buy health insurance. I know many people who would rather pay a fine than be forced into something they do not want or cannot afford.
The federal Government will cover 100 percent of the expansion costs for the first three years and 90 percent of its cost thereafter (William Earl Maxwell, 2014). Millions of Texans, many of them children, could have greatly benefited from the expansion in the Medicaid program, I personally
Joe Madera, a retired man in his late 60s living in Pomona, CA, pays more than $250 a month out of pocket for prescription drugs to maintain his diabetes under control. Medicare covers his doctor bills and any hospital visits, but the federal health program does not cover prescription. While this man’s household income is fixed, the cost of his medication just keeps going up. Most Americans do not feel the increase in drug prices directly because they purchase prescription medicines through their employee health plans or their HMOs, where they do not pay the full price, often making only a $10 or $20 co-payments. The rise in drug prices does hit this group indirectly.
First, administrative costs are high due to poor management between the providers and the newly implemented Electronic Health Record (EHR), which could decrease wasteful services. It can also help if patients want to go to another hospital where they could easily have another physician. The EHR will slash the redundancy of these investigations. If 80% of the U.S. population used the EHR by 2019, around $21billion could be saved. President Obama said that in order to save dollars and lives, all Americans must have EHRs by 2014 (Barton, 2010).