Wednesday, February 20, 2008

Canadian Health Care Has Too Little Rationing

Canadian health care is not socialized medicine (as I've said before).

It's a single payer system in which there is too little regulation.

In fact, based on my experience in both systems, there is a lot more rationing in our private-based health system. We've got formularies, prior authorizations, referral management, utilization management, tiered copayments, deductibles, different costs for in- and out-of-network utilization.

The Canadian system doesn't have most of that.

Until now. Quebec is considering instituting a co-payment. I think the time is ready for a change in the Canadian constitution to allow for even a nominal co-pay (I actually was surprised to see the $25 amount proposed).

Quebec actually does better in terms of utilization than other provinces.

Just imagine what takes place in provinces such as Newfoundland or New Brunswick, and what would happen if a co-pay were introduced!

In any case, just realize that the Canadian system has problems, but these are actually due to the lack of sufficiently aggressive resource management.

I feel the need to pound it into people's heads that this is not an issue of the system being socialized, nor is it a matter of the system needing the $25 to directly offset costs. It's more to reduce unnecessary utilization.

Natural evolution. They'll do well with this.

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