Privatizing Health Care in Canada

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Table of Contents

Introduction
Components of the Canadian health care system
Effects of privatization
Private health care
Conclusion
Works Cited

Introduction

The health care system of Canada comprises several health insurance policies that provide health coverage to all citizens. It is funded by the government, and managed on territorial basis (Angell 46). However, the federal government establishes the guiding policies and principles that manage it. Canadian citizens get access to preventive care and medical treatment through the provisions of the health care system.

In addition, they have access to special treatment services and other medical services. Under the health care system, all Canadian citizens have access to health coverage regardless of their economic status, medical history, or living standards (Axworthy and Spiegel 55). However, few are exempted from health coverage due to various reasons.

The health care system is subject to political debates because of doubts regarding its ability to provide efficient health care to citizens. Many critics advocate for a private system similar to the one that Americans use.

However, fears of possible development of inequalities have arisen due to privatization proposal (Angell 48. It is important to privatize health care in Canada even though it might give rise to inequalities that will affect many people.

Components of the Canadian health care system

The Canadian Health Act forms the basis of the Canadian health care system. It has five main components that include public administration, comprehensiveness, universality, portability, and accessibility (Axworthy and Spiegel 59). These components are the main reasons for opposition of privatization of the health care system.

The act gives the authority to administer provincial health insurance to a public authority that does not seek to make any profits from delivery of services. The authority is responsible for overseeing the actions of the authority, and the medical and financial accounts are subject to governmental audits.

The act also requires all health services to be insured. Under the act, all insured people should have equal access to all health care services (Angell 51). It also provides coverage to any citizen who moves form one province to another. Finally, it provides access to health care facilities to all citizens, and appropriate compensation for all service providers.

Effects of privatization

Canada has a life expectancy of about 80 years that is attributed to its health care system (Marchildon 81). In addition, it has a very low rate of infant mortality. There are proposals to change the Canadian health care system to the private system similar to the one that is adopted by the United States. Opponents of privatization argue that it will offer more choices, reduce the cost of health care, and improve its quality.

Others claim that will improve efficiency. On the other hand, opponents of privatization argue that it will bring inefficiency and inequality in the system. According to Caulfield and Tigerstorm (66), “people will not be able to afford certain types of treatments because of high costs.” Some studies have revealed that the privatized system of the United States is less efficient than the public system of Canada.

This is explained by the reliance of the U.S on private corporations for funding of health care services. The U.S considers health care as a financial commodity rather than a social services that should aim to improve the welfare of citizens. This results in unequal distribution of health care because some people are unable to pay certain premiums.

Low-income earners are unable to pay and therefore, fail to get access to certain health care services that they need most (Axworthy and Spiegel 64). For example, certain treatments are only available to rich people who can afford to pay.

This means that poor people cannot access these treatments because of their inability to pay the high costs. Privatizing health care in Canada will introduce inequality because certain treatments will only be offered to people who can afford to pay (Caulfield and Tigerstorm 71).

Proponents of privatization argue that it will make the system more efficient by creating more facilities (Marchildon 59). This will ultimately shorten waiting lists. This argument is based on a study of the U.S. For example, in the U.S., patients who are well insured do not need to wait for long periods to get treatments such as hip replacement.

According to Caulfield and Tigerstorm, (88), “patients who are not well insured will wait for very long periods before being attended to, which will reduce the waiting list but introduce inequalities.” Only people who can afford hip replacement can undergo surgeries. Under public health care system, all citizens have equal opportunities of access to all types of treatment (Marchildon 72).

The quality of health care under a privatized system will be different from the quality of health care under the current system (Gratzer 38). Privatization will introduce for-profit organizations that will be responsible for managing health care. This will make the cost of health care more expensive.

The amount of money that citizens spend under the current system will not buy the same health care that they buy under a privatized system (Caulfield and Tigerstorm 89). Privatization will raise premiums and cost of healthcare. It is not possible for private organizations to continue providing health care without charging higher premiums in order to make profits and cater for costs.

The current system eliminates the possibility of organizations trying to make profits. According to Marchildon (63), “Under privatization, organizations that have a responsibility to their investor will assume the role of the administration of health care and will thus strive to make profits in order to satisfy investors.”

This move will affect many citizens. Canada’s Medicare is one of the most effective programs among such health care programs in industrialized countries. Instead of privatization, the government should expand its scope and include long-term care and home care. The main effect of privatization is increase in costs and decline in access to health care services.

Private health care

One of the weaknesses of the public health care system is lack of insurance coverage for prescription medications, dental services, and optometrists (Gratzer 43). The public system only offers coverage for basic services. Companies usually offer private health insurance plans for citizens who can afford to pay high premiums. In organizations, they usually form part of employee incentives.

Canadians that can afford have the option of buying insurance from private companies at a higher premium rate. The main reason why many people purchase private insurance coverage is to deal with the aforementioned weaknesses in the public health care system.

For example, citizens who require dental services, home care, or medications usually purchase private insurance because they are not covered under provincial plans (Caulfield and Tigerstorm 79). Privatization of health care will benefit people with certain needs but be disadvantageous to the majority of Canadians. This is evident from over-reliance on the public health care system by the majority of people.

According to Gratzerhe (63), “the only advantage of privatization is that it offers services with reduced wait times.” However, the issue of wait time is two sided because long wait time is beneficial to some patients. For example, it eliminates the probability of medical errors. Patients who can afford to pay on time risk undergoing speedy surgeries that might have been wrongly recommended.

Proponents of privatization argue that it will reduce wait time. However, this argument is misguided and should not be used as the basis for privatization. The adverse effects that privatization will have on people who cannot afford costly insurance premiums should be the basis for accepting or declining privatization.

Conclusion

Canadian citizens get access to preventive care and medical treatment through the provisions of the Canadian Health Act. In addition, citizens have access to several medical services. The Canadian Health Act forms the basis of the Canadian health care system. It has five main components that include public administration, comprehensiveness, universality, portability, and accessibility.

Under the health care system, all Canadian citizens have access to health coverage regardless of their economic status, social status, medical history, or living standards. Politicians have blown the issue of privatization out of proportion by peddling lies that misguide citizens with regard to its effect on the health care system.

The quality of health care under a privatized system will be different from the quality of health acre under the current public system. Privatization will raise premiums and cost of healthcare. It is not possible for private organizations to continue providing health care without charging higher premiums in order to make profits.

The current system eliminates the possibility of organizations trying to make profits. Privatization of health care in Canada will affect the larger population that cannot afford to pay for certain types of treatments. If the system is privatized, it will favor the rich who can afford to pay for certain medical treatments. The issue should be evaluated further to determine whether privatization is appropriate for Canadians or not.

Works Cited

Angell, Marcia. Privatizing Health Care is not the Answer: Lessons from the United States. Canadian Medical Association Journal 19.9 (2008): 916-919. Print.

Axworthy, Lloyd, and Spiegel Jerry. (2002). Retaining Canada’s Health Care System as a Global Public Good. Canadian Medical Association Journal 167.4 (2002): 365-366. Print.

Caulfield, Timothy, and Tigerstorm Barbara. Health Care Reform & the Law in Canada: Meeting the Challenge. Toronto: University of Alberta, 2002. Print.

Gratzer, David. Better Medicine: Reforming Canadian Health Care. New York: ECW Press, 2005. Print.

Marchildon G. Health Systems in Transition: Canada. Toronto (ON): University of Toronto Press, 2005. Print.

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