Page 47 - Ebook health insurance IC27

Sashi Publications

proportion in recent years. The funds are under the joint control of
employers and employee unions, which are in turn supervised by the
state.

The funds are mandatory, no one may opt-out, and they're not allowed
to compete with each other. This insurance system covers a large share
of all health costs in the country, the rest being met through out of pocket
payments and the supplementary insurance company. However, most
French citizens also have additional private insurance cover, which pays
for the various procedures and equipments, which the public insurance
does not fully cover.

(iii) In the United States, since World War II, employment based health
benefits have been the foundation of health insurance for the under 65
population, and their dependents.

However, in recent years, the number of people covered by employer-
sponsored health insurance have been eroding, may be due to increasing
premia with respect to worker's salary. So, a large population is without
insurance coverage.

The Government provides healthcare to the elderly (Medicare) and for the
poor (Medicaid), which is an increasing expenditure for public exchequer.
Overall, health costs account for 16% of the country's GDP and there is
growing concern about the sustainability of this expenditure.

(iv) Japan achieved universalhealth coveragein 1961, through theNational Health
Insurance Act. Large employers (with 700+ employees) are required to
operate insurance plans for workers and their dependents, called Society
managed Insurance.

Employees and their dependents in smaller companies, are automatically

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