Public Vs. Private Health Care

Health-care insurance is the process through which individuals' medical bills--or a portion of them--are paid for by a third party according to the coverage agreement.

Types

• Private and public health insurance plans give people the ability to defer the costs of medical treatment. Private health care is run by for-profit businesses that take in revenue in return for insuring people against injury. Public health care plans provide free or subsidized health care for all citizens.

Function

• Public health care is a basic nonprofit form of insurance available to any citizen, with the premiums going to the federal government to cover the costs of health care. Private health insurance allows individuals to choose a plan that fits them best based on coverage needed, medical conditions they have, and premiums they would like to pay.

Features

• Private health care offers more options for coverage, but its high prices and premiums leave many citizens at risk of bankruptcy after catastrophic illness. Providing health care for citizens' illnesses without out-of-pocket expenses is the main goal of public systems of health care.

Cost

• Public health care does not necessarily cost taxpayers more money. According to figures from the Britain's National Health Service as reported by Forbes magazine, providing a public health option lowers overall health costs by ensuring proper preventative care for all citizens.

Considerations

• According to the New England Journal of Medicine, countries that have offered only public health care (such as Britain, France and Canada) have begun allowing privatization of insurance. Conversely, the United States offers public health-care plans in certain areas. This indicates that a balance between the two may be most helpful to meeting citizen's needs