Why does the US rank dead last in healthcare rankings when compared to 10 other first world countries?
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http://www.commonwealthfund.org/publications/fund-reports/2014/jun/mirror-mirror The United States health care system is the most expensive in the world, but this report and prior editions consistently show the U.S. underperforms relative to other countries on most dimensions of performance. Among the 11 nations studied in this reportâAustralia, Canada, France, Germany, the Netherlands, New Zealand, Norway, Sweden, Switzerland, the United Kingdom, and the United Statesâthe U.S. ranks last, as it did in the 2010, 2007, 2006, and 2004 editions of Mirror, Mirror. Most troubling, the U.S. fails to achieve better health outcomes than the other countries, and as shown in the earlier editions, the U.S. is last or near last on dimensions of access, efficiency, and equity. In this edition of Mirror, Mirror, the United Kingdom ranks first, followed closely by Switzerland (Exhibit ES-1). http://www.commonwealthfund.org/~/media/files/publications/fund-report/2014/jun/exhibit_es1.pptx?la=en. Expanding from the seven countries included in 2010, the 2014 edition includes data from 11 countries. It incorporates patientsâ and physiciansâ survey results on care experiences and ratings on various dimensions of care. It includes information from the most recent three Commonwealth Fund international surveys of patients and primary care physicians about medical practices and views of their countriesâ health systems (2011â2013). It also includes information on health care outcomes featured in The Commonwealth Fundâs most recent (2011) national health system scorecard, and from the World Health Organization (WHO) and the Organization for Economic Cooperation and Development (OECD). The most notable way the U.S. differs from other industrialized countries is the absence of universal health insurance coverage.5 Other nations ensure the accessibility of care through universal health systems and through better ties between patients and the physician practices that serve as their medical homes. The Affordable Care Act is increasing the number of Americans with coverage and improving access to care, though the data in this report are from years prior to the full implementation of the law. Thus, it is not surprising that the U.S. underperforms on measures of access and equity between populations with above- average and below-average incomes. The U.S. also ranks behind most countries on many measures of health outcomes, quality, and efficiency. U.S. physicians face particular difficulties receiving timely information, coordinating care, and dealing with administrative hassles. Other countries have led in the adoption of modern health information systems, but U.S. physicians and hospitals are catching up as they respond to significant financial incentives to adopt and make meaningful use of health information technology systems. Additional provisions in the Affordable Care Act will further encourage the efficient organization and delivery of health care, as well as investment in important preventive and population health measures. For all countries, responses indicate room for improvement. Yet, the other 10 countries spend considerably less on health care per person and as a percent of gross domestic product than does the United States. These findings indicate that, from the perspectives of both physicians and patients, the U.S. health care system could do much better in achieving value for the nationâs substantial investment in health. Major Findings Quality: The indicators of quality were grouped into four categories: effective care, safe care, coordinated care, and patient-centered care. Compared with the other 10 countries, the U.S. fares best on provision and receipt of preventive and patient-centered care. While there has been some improvement in recent years, lower scores on safe and coordinated care pull the overall U.S. quality score down. Continued adoption of health information technology should enhance the ability of U.S. physicians to identify, monitor, and coordinate care for their patients, particularly those with chronic conditions. Access: Not surprisinglyâgiven the absence of universal coverageâpeople in the U.S. go without needed health care because of cost more often than people do in the other countries. Americans were the most likely to say they had access problems related to cost. Patients in the U.S. have rapid access to specialized health care services; however, they are less likely to report rapid access to primary care than people in leading countries in the study. In other countries, like Canada, patients have little to no financial burden, but experience wait times for such specialized services. There is a frequent misperception that trade-offs between universal coverage and timely access to specialized services are inevitable; however, the Netherlands, U.K., and Germany provide universal coverage with low out-of-pocket costs while maintaining quick access to specialty services. Efficiency: On indicators of efficiency, the U.S. ranks last among the 11 countries, with the U.K. and Sweden ranking first and second, respectively. The U.S. has poor performance on measures of national health expenditures and administrative costs as well as on measures of administrative hassles, avoidable emergency room use, and duplicative medical testing. Sicker survey respondents in the U.K. and France are less likely to visit the emergency room for a condition that could have been treated by a regular doctor, had one been available. Equity: The U.S. ranks a clear last on measures of equity. Americans with below-average incomes were much more likely than their counterparts in other countries to report not visiting a physician when sick; not getting a recommended test, treatment, or follow-up care; or not filling a prescription or skipping doses when needed because of costs. On each of these indicators, one-third or more lower-income adults in the U.S. said they went without needed care because of costs in the past year. Healthy lives: The U.S. ranks last overall with poor scores on all three indicators of healthy livesâmortality amenable to medical care, infant mortality, and healthy life expectancy at age 60. The U.S. and U.K. had much higher death rates in 2007 from conditions amenable to medical care than some of the other countries, e.g., rates 25 percent to 50 percent higher than Australia and Sweden. Overall, France, Sweden, and Switzerland rank highest on healthy lives. Summary and Implications The U.S. ranks last of 11 nations overall. Findings in this report confirm many of those in the earlier four editions of Mirror, Mirror, with the U.S. still ranking last on indicators of efficiency, equity, and outcomes. The U.K. continues to demonstrate strong performance and ranked first overall, though lagging notably on health outcomes. Switzerland, which was included for the first time in this edition, ranked second overall. In the subcategories, the U.S. ranks higher on preventive care, and is strong on waiting times for specialist care, but weak on access to needed services and ability to obtain prompt attention from primary care physicians. Any attempt to assess the relative performance of countries has inherent limitations. These rankings summarize evidence on measures of high performance based on national mortality data and the perceptions and experiences of patients and physicians. They do not capture important dimensions of effectiveness or efficiency that might be obtained from medical records or administrative data. Patientsâ and physiciansâ assessments might be affected by their experiences and expectations, which could differ by country and culture. Disparities in access to services signal the need to expand insurance to cover the uninsured and to ensure that all Americans have an accessible medical home. Under the Affordable Care Act, low- to moderate-income families are now eligible for financial assistance in obtaining coverage. Meanwhile, the U.S. has significantly accelerated the adoption of health information technology following the enactment of the American Recovery and Reinvestment Act, and is beginning to close the gap with other countries that have led on adoption of health information technology. Significant incentives now encourage U.S. providers to utilize integrated medical records and information systems that are accessible to providers and patients. Those efforts will likely help clinicians deliver more effective and efficient care. Many U.S. hospitals and health systems are dedicated to improving the process of care to achieve better safety and quality, but the U.S. can also learn from innovations in other countriesâincluding public reporting of quality data, payment systems that reward high-quality care, and a team approach to management of chronic conditions. Based on these patient and physician reports, and with the enactment of health reform, the United States should be able to make significant strides in improving the delivery, coordination, and equity of the health care system in coming years.
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Answer:
The report, http://www.commonwealthfund.org/publications/fund-reports/2014/jun/mirror-mirror, is pretty clear on how those metrics were made. As to the reason that the US perform the worst in those metrics out of all 11 first-world countries, it is open to debate. However, the likely contributing factors are: - The US is the only country in the list that does not have universal healthcare. This contributes to equity, where the poor may not access the appropriate health-care due to concerns about cost. - The US is the only country in the list that has a for-profit insurance industry that covers basic care (hospital and doctor visits, most diagnostic tests). Instead of delivering appropriate care, the profit-motive seems to reduce system efficiency so the operators and insurers can make more money. --- Postscript: There seem to be some confusion about for-profit insurance industry in multi-payer systems such as that of Germany and Switzerland. In those countries, the basic coverage (Gesetzliche Krankenversicherung in Germany, http://www.admin.ch/opc/de/classified-compilation/19940073/index.html/http://www.admin.ch/opc/fr/classified-compilation/19940073/index.html/http://www.admin.ch/opc/it/classified-compilation/19940073/index.html in Switzerland), which covers for items such as hospital stays, surgery, or organ transplants, is strictly regulated to be run as non-profit. It is elaborated in
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Other answers
The chart is a bit vague, I wish it had given data and not just rankings. Still the US is an outlier as far as cost goes, and it has been an outlier for a long time. The question is why, and the answer is that those in charge simply don't see it as a problem. Healthcare for the wealthy is very good, even if it is staggeringly expensive here. The US has no universal healthcare system, it has a mediocre elder car system and an insurance subsidy scheme for the poor adults below 65. Given the reaction by Republicans to Obama's weak effort, I doubt anyone wants to do a real makeover here. There is no stomach for that so it won't happen.
Jerry Mc Kenna
Lots of reasons, but here are three really big ones: 1) Healthcare in the U.S. isn't coordinated - it's episodic: If you think about how healthcare is delivered, itâs on an ad hoc basis. Someone comes into a hospital, someone comes into a pharmacy, someone comes into a doctor. But beyond those touchpoints, the patients are on their own. Thereâs no real continuity of care.Christopher A. Viehbacher â CEO, Sanofi 2) Healthcare is based on a fee-for-service billing mechanism. More services = more fees. Hospitals actually make more money on patients that were readmitted for complications created during a hospital stay. That's the definition of a perverse incentive. What we cope with as an insurer is the notion of people getting paid more for doing more âstuff â whether or not that actually contributes to better clinical outcomes. Lonny Reisman, MD â Senior Vice President and CMO, Aetna 3) In 2012 - there were 84 million (non-elderly) Americans that were either uninsured - or underinsured during the year. [1] Aside from the staggering number - many people are blind to the simple fact that people who are uninsured still receive healthcare - often the most expensive kind (the ER) - and we all wind up paying for it. The mechanics of margins in a hospital (where 31% of our healthcare spending occurs) looks like this: The uninsured patients, the Medicare patients and the Medicaid patients are all negative margin. The only way to compensate for that is to charge commercial insurers more as the offset (and only path to profitability). As the uninsured, Medicaid and Medicare populations increase - commercial rates mushroom quickly. Which is how we get to this last chart - the average annual cost of healthcare for a family of four with PPO coverage (AKA - the Milliman Medical Index): The bulk of that $23K is split between the employer (about $13K) and then the employee pays the balance (about $10K) - just for health coverage. All of which is captured fairly well by the summary finding in The Commonwealth Fund report: The most notable way the U.S. differs from other industrialized countries is the absence of universal health insurance coverage. Other nations ensure the accessibility of care through universal health systems and through better ties between patients and the physician practices that serve as their medical homes. [2] NB: Universal health insurance coverage is NOT "single-payer" healthcare - although it's often lumped together - typically to pursue a political POV. [3] The U.S. system is optimized around revenue and profits - not safety and quality. Changing that will be difficult - largely due to this 2 sentence quote: =================== [1] http://www.commonwealthfund.org/publications/press-releases/2013/apr/new-health-insurance-survey [2] http://www.forbes.com/sites/danmunro/2014/06/16/u-s-healthcare-ranked-dead-last-compared-to-10-other-countries/ [3] http://www.forbes.com/sites/danmunro/2013/12/08/universal-coverage-is-not-single-payer-healthcare/
Dan Munro
Well, firstly we have statistical error here; that is between systems. These systems are all self-reporting, and I highly doubt the various measurement systems are completely comparable. There will be differences in methodology here and there. In fact the differences could be quite large. Has anyone looked into this?
Stan Harris
There are too many added costs to healthcare in the US, and this reduces its overall efficacy. Especially in terms of population health. The added costs are everywhere- inflated hospital executive salaries, insurance administrative overhead, drug and equipment prices, even the burden of student loans on younger doctors- to just name a few top-level, addressable, items. I personally think that the present situation will not last long due to the aging of the US population. Lobbies and cartels trying to confuse the public on the issues can't expect the US economy to bear the financial burden of healthcare for too long.
Usman Qazi
Because when the first discussions about PPACA started in Congress the Law contained the Public Option. The health insurance corporation, and medical corporations (bribers of Congress) went absolutely ballistic all over their bribed "representatives" and got the Public Option removed before the Citizens even got to look at it, much less talk about it. Net end result: A BRIBED AND TREASONOUS group of Congresscritters took out the ONE provision which actually had any chance at all of correcting Our health "care" "system" in the good old USA! What a great way to "serve" the Citizens and the Nation, guys! Thanks for nothing!
Kris Rosvold
Because the ranking system you've linked has been specifically designed in its measurements to achieve that result. They have largely ranked degree of socialization and centralization as the primary attributes or concern, and ignored or reduced the importance of those on which we do very well.
S. Marshall Priddy
The statistical comparisons have always been skewed. The US system is clearly too expensive, however we do better than you realize when the data is looked at more closely. Take mortality rates for example. Is it often reported that we have very poor life expectancy compared to other industrialized nations. We also by coincidence have far more cars and guns. When you eliminate deaths by auto accident and homicide, we have the very best mortality rates. So in terms of pure health and healthcare, that's an endorsement of our system. Infant mortality is another comparison where we don't appear to do as well as we should. We count premature births in our numbers but other countries only count full-term births. Such a high number of infant deaths occur in those born premature that the comparison to other countries is meaningless. Finally, in the statistics regarding survival rates after diagnosis of critical illness, we do great (and far better than the UK). Comparisons made between systems or countries that use entirely different measuring sticks is deceiving. We may pay a lot, but we do actually get great care for it.
Harry Cain
Because the US healthcare industry has a profit motive in a market that is far from free. For instance, people are not able to shop around for the best care when they are desperately in need of care. Also, people cannot make truly informed decisions about what care they need, because they aren't medical professionals. These are but two of the reasons why health care doesn't act like a free market. The US healthcare industry is well equipped to take advantage of these asymmetries and extract money at the expense (literally) of both health and dollars.
Mike Peattie
Because we do not have a single-payer healthcare system and do not guarantee healthcare as a right and not a privilege like every single other developed country in this world. Before you pounce on me, let's look at the facts. The US pays a ton for healthcare; about 10-11% of their GDP. This is about 5-7% more than most other developed countries. What do they have in common? Single-Payer Healthcare systems. They work.Now, to the people that think that it would never be able to work in the US, how? It would never work with such a large group of people? Do you even know how healthcare works?! It gets cheaper the larger your pool. A single payer healthcare system basically gives everyone medicare, but better. You walk into a hospital and you don't have to fill out any insurance information, because everyone has the same insurance. You just have to pay small increases in taxes for healthcare for your entire family. It will cost America citizens way less and actually will reduce in cost the higher the population gets as the pool increases.Why should we do this? Because we shouldn't screw with people's health. It is stupid that healthcare is not a right and personally it is way more important than the right to own guns. The right to be healthy? I think that is a pretty good right. We are the only country who doesn't guarantee this to every citizen. It will make our population healthier and cost the country less, so it is a pretty good idea that benefits everyone in this country.
Brian Blood
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