The cost is considerably lower when compared to the USA since the social

The cost is considerably lower when compared to the

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The cost is considerably lower when compared to the USA since the social security system covers 70% of the treatment cost. Another interesting fact about the French healthcare system is that medical problems that are long term are 100% covered by the state (Francesca et al., 2011). Another difference with the USA is that chronic diseases have led to high costs of Medicare while in France, the same diseases are taken care of almost 100% for low-income residents who are either over the age of 65 years or under-16. Likewise in Germany, the cost of covering health care services is not very high due to insurance. Most residents are on statutory insurance policy implying that they pay half of the insurance fee while the employer pays the other half (Hadad et al., 2013). The government champions for a minimal level of healthcare coverage from both public and private policies. Hospitals fees and pregnancy-associated costs are all taken care of by the insurance. At times you might still have to pay some fees, but the availability of the insurance cover makes healthcare affordable. The statutory health insurance kitty covers a significant percentage of Germany's insurance with the expenditure amounting to close to 11.2% of the country’s GDP (Hadad et al., 2013). Government Involvement In the US, the federal government accounts for annual subsidy in the region of 250 billion in forgone payroll taxes and income. This subsidy represents around 1.6% of the country’s GDP. Medicare and Medicaid consumed close to 14% and 8% respectively in 2013 according to reports that were released by the Congressional Budget Office (Rothgang et al., 2010). This implies that the US spends a lot in the healthcare system, but still, their some of her residents do not get quality for their money while others can barely afford medication.
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HEALTHCARE SYSTEMS 6 In Germany however, the healthcare system is segmented such that each government level has a particular role to play. The central government, however, passes the legislation on policy and jurisdiction. The state government deals with hospital planning, supervising the funds allocated for sickness and managing state hospitals. Local governments, on the other hand, are responsible for maintaining and supervising local hospitals and the public health initiatives (Francesca et al., 2011). The healthcare system is extensively decentralized in Germany, and the physicians association and the sickness fund have an extensive autonomy. Government’s intervention is still substantial though despite this autonomy. Germany has, however, seen success in her attempt to control costs of healthcare. The achievements can be attributed to the framework of the healthcare system whereby the medical expenditures are linked to the income of sickness fund members. This system, however, experiences some problems that raise questions about its ability to contain costs in the long term.
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