Compare The Three (3) Current Health Care Financing And Funding

1. Compare the three (3) current health care financing and funding models (i.e., employee based, government based, and individual based) used with the healthcare delivery system of the United States.Employee based health care financing model suffers from high administrative costs. With more than 850 companies in health insurance sector and millions of employers the administrative overheads make up a significant portion of the cost of underwriting insurance. Underwriting each employee typically involves brokers, benefits managers and armies of consultants.Typically, administrative make up to 11 percent of premium, excluding the cost to employers of purchasing and managing health care spending (Enthoven & Fuchs, 2006). Allocation of health insurance costs under employee healthcare financing model is unequitable. A flat rate insurance premium results in lower paid employees paying a proportionately higher insurance premium than high earning employees (Enthoven & Fuchs, 2006).Employee based healthcare financing model is only available to a section of the society. Coverage is only limited to employees and their families. This leaves out the self-employed, widows and retirees. Employee based healthcare financing also interferes with labor management relationships and job mobility. Employees may feel tied into an employer because of healthcare benefits (Enthoven & Fuchs, 2006).Government based health care