Health Care Financing

Health care financing refers to the mechanism through which funds are allocated for health services. It involves sources of funding, such as government budgets, private insurance, or out-of-pocket payments by individuals. Effective financing ensures that people can access necessary medical services without facing financial hardship. Key aspects include managing costs, determining payment methods (like fees for services or capitation), and ensuring equitable access to care. Understanding health care financing helps in evaluating the sustainability and quality of a health care system, impacting patient outcomes and overall public health.