Between 19, a blueprint for modern health insurance emerged in the form of the Baylor Plan, the first form of private health insurance based on capitation. Before the introduction of health insurance plans, patients/ consumers paid directly out-of-pocket. The principles on which managed care were based had been existed for over a century. Managed Care and "Managed Care Organization" (MCO) terms are used interchangeably in an organizational context. Many authors define Managed Care as a "Healthcare delivery system that 1) integrates fragmented four basic healthcare delivery functions, i.e., the financers, insurers, providers and payers to achieve efficiency, 2) implement control (manage) mechanisms in medical services utilization, and 3) introduces price competition in health service markets, i.e., determining the price at which services are purchased and how much the providers get paid. To put in simple terms, Managed Care is defined as a group of activities or techniques intended to control costs, utilization, and maintain quality of care through health insurance plans. This integration of financing and insurance was an efficient way to gain control and prompted the explosion of managed care during the 1970s and 1980s, lifting a heavy burden from employers. Under traditional insurance (also known as fee-for-service or indemnity insurance), insurance companies and providers operated independently without incentive, resulting in unaffordability and unrestrained delivery of services with spiraling health insurance premiums. Congress passed a bill in 1973, the Health Maintenance Organization Act, which spurred the rapid growth of Health Maintenance Organizations (HMOs), the first form of managed care. The significant structural changes in the U.S. Early origins of the deliberate steps to change the American healthcare system through a controlled form of financing and healthcare delivery traced back to the Nixon administration during 19 century. Among these national healthcare expenditures, nearly 25% of spending was wasted. healthcare expenditure as a percentage of GDP inflated from 5.0 to 17.9 (i.e., $3.5 trillion), and average dollars spent on individuals increased from (in dollars) 146 to 10,739 respectively. However, healthcare spending in the U.S is remarkably highest with scanty health outcomes and poor public service compared with the ten highest-income countries (United Kingdom, Canada, Germany, Australia, Japan, Sweden, France, the Netherlands, Switzerland, and Denmark). is the leading power in state-of-art medical technology, training, and research. The United States is one of the largest advanced economies by gross domestic product (GDP) in terms of both nominal and purchasing power parity.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |