Sweden Health Care Finance Essay

759 Words2 Pages

The bulk of Sweden’s healthcare is publicly financed; whereas, the funds come from the public as taxes. The monies to fund this healthcare plan come from “central and local taxation” (Anell, 2014). According to Bidgood (2013), “of the 21 counties and 290 municipalities in Sweden over 70% of healthcare financing is raised through taxation” (p. 4). “However, much of the remainder (more than 25%) comes from block grants from the central government, financed from national level taxation” (Bidgood, 2013, p. 7). There are two different forms of financing for different reasons. The local taxes are in place so that everyone could participate by paying local taxes. The second form of financing is from the government so they can distribute money …show more content…

“Sweden invests about 10 percent of its GDP in health and medical services” (Export.gov, 2015). Each organization allots a certain amount of money according to the budget that the county or municipality sets and they have to buy their equipment that fits their budget. Financing the medical technology in Sweden can be very expensive, especially if keeping up with the latest and greatest. In order for medical equipment purchases to occur in Sweden, the equipment has to stay within the budgets outlined at that facility and county. “It is up to each county to make sure health and medical services work for a good standard; they also decide on the allocation of the resources to the health services and are responsible for the overall planning of the services offered” (Export.gov, 2015). “If extra funding is needed the management of the department need to go further up in the hospital hierarchy and present a cost benefit scenario” (OSEC, 2012). Limitations and cost restrictions on medical equipment exist because local taxes are utilized for all of Sweden’s medical equipment purchases. In cases where approval is required, a concrete case has to be presented to a board for determination. Since Sweden’s health care is cost contained, it is cheaper to manufacture their own medical equipment so they do not have to pay for importing. “Domestic production is strong and the medical device sector is one of the leading export sectors in Sweden” (Export.gov, 2015). This can help with getting more monies to help fund Sweden’s healthcare and keep them at the forefront as the best health care system in the

Open Document