Financial Incentives in Health Care Essays

Financial Incentives in Health Care Essays Financial Incentives in Health Care Paper Financial Incentives in Health Care Paper In Delivering Healthcare in America, a book by Leiyu Shi and Douglas Singh, the author explains that although in the US healthcare the primary payer is the government, the systems has a disproportionate amount of health plans and insurance policies that only complicate the system. The current financial incentive policies in place that attempts to control the delivery of health care has also been seen to promote demand creation, where an artificial demand is prompted by healthcare providers who have financial gain in mind (Shi Singh, 2008). In an effort to curb the tendency of healthcare providers, who are operating under financial incentives, to require unnecessary care or too little care in the interest of financial gain, managed care programs have been introduced in the system. : These care programs are organized in such a way that care providers received a fixed salary as opposed to a financial incentive, affecting care provision in that the provider’s focus in removed from their financial gain.   According to Chaix-Couturier, Durand-Zaleski, Jolly and Durieux (2000), this system has greatly improved the provision of care, where the focus has moved from treating illnesses to promoting wellness. Similarly, Shi and Singh (2008) explains that in an effort to cut the cost of health care spending, the government has implemented heavy regulations that have cut reimbursements to health care providers, as a response care providers have by limiting inpatient care, promoting outpatient alternatives and creating new modes of healthcare delivery such as home health care and long-term care. In evaluating financial incentives in the healthcare system in relation to its effectiveness and its influence on type of care provided collection of data is not enough, there must be a theoretical evaluation based on the idea of professional practice. Chaix-Couturier, C.,   Durand-Zaleski, I., Jolly, D. Durieux, P. (2000). Effects of Financial Incentives on Medical Practice: Results from a Systematic Review of the Literature and Methodological Issues. International Journal for Quality and Healthcare volume 12:1,133-142. Shi, L. Singh, D. (2008). Delivering Healthcare in America: A Systems Approach. Sudburry, MA: Jones and Bartlett Publishers, Inc.