Module 6: Building Blocks - Health Financing: ONLINE
Session 1 - Health Financing
- Session summary and reflection
- Learning Outcome
- Concluding Questions: What is Health Systems Science?
Session summary and reflection
Financing models in South Africa:
- Public for Public: Government-funded and provided healthcare, such as the South African public sector.
- Private for Public: Private healthcare funded by individuals, such as the private sector in South Africa.
- Mixed Funding: Both public and private funding sources, similar to Canada’s model and anticipated under South Africa’s National Health Insurance (NHI)
Challenges in South Africa’s Health Financing:
- Inequitable distribution between public and private sectors, with the private sector serving only 16% of the population despite high costs.
- Focus on hospital-based care rather than prevention and primary care.
- High out-of-pocket payments, disproportionately affecting the poor.
- Escalating costs of medical schemes, making the system unsustainable for many
Learning outcome
Explain the functions of health financing systems and describe different models of health care financing.
- primary functions of health financing systems:
- Revenue Collection
- Pooling of Resources
- Purchasing of Services
- Models of Healthcare Financing:
- Tax
- public and private Health Insurance
- Out-of-Pocket Payments
- NHI
Explain the concepts of universal coverage, health equity, responsiveness, social and financial risk protection, and efficiency in the context of health financing.
- Universal Coverage: Ensuring that all individuals have access to the health services they need without financial hardship. Universal health coverage (UHC) aims to provide essential health services to the entire population.
- Health Equity: Providing equal access to healthcare services regardless of socioeconomic status, geographic location, or other demographic factors, ensuring fair treatment and opportunities for good health.
- Responsiveness: The healthcare system’s ability to meet the needs and expectations of patients, treating them respectfully and ensuring timely access to care.
- Social and Financial Risk Protection: Protecting individuals from the financial risks of healthcare costs by pooling resources and sharing the financial burden, particularly for low-income populations.
- Efficiency: Maximizing health outcomes while minimizing waste and using resources effectively, ensuring funds are spent on high-quality, necessary services.
Describe the sources of health financing in South Africa.
- Tax
- public and private Health Insurance
- Out-of-Pocket Payments
- NHI
Conclusion questions: Health Financing
Core Content: Health Finance
- How are funds raised to finance healthcare in South Africa?
- In South Africa, healthcare funding comes from a mix of sources: government funding through taxes, private health insurance contributions, out-of-pocket payments by individuals, and donor funding.
- What are the different models for financing a health system?
- Tax-based funding: Healthcare is funded primarily through government taxation, as seen in many public healthcare systems.
- Social health insurance: Mandatory contributions from employers and employees fund healthcare, providing universal coverage.
- Private health insurance: Individuals purchase private insurance, covering healthcare costs based on chosen plans.
- Out-of-pocket payments: Individuals pay directly for healthcare services, common in countries without universal coverage.
- Donor funding: External aid from international organizations or charities supports healthcare.
- How will National Health Insurance change the way that healthcare is financed in South Africa?
- NHI will shift South Africa towards a single-payer, universal healthcare system primarily funded by taxes. It aims to pool funds into a centralized system, enabling equitable access to healthcare regardless of income, reducing reliance on out-of-pocket payments, and standardizing the quality of care across the country.
Cross-cutting Content: Identifying and evaluating types of arguments
- How can you build evidence-based arguments when writing an argument essay
- Research thoroughly
- Use reliable sources
- Organize arguments logically
- Address counterarguments
- Cite sources properly