Question

what role has health insurance had in the increase in hospitals and physicians since the 1930s?

Answer 1

When Health insurance was introduced in the 1920's nd tehre by gained popularity in the 1930's, the idea was to help people avoid bankrupcy due to out of pocket expenditure on hospitalisation and less about making profits. This has changed in the modern day where health insurance is seen as a business model.

Usually in Health Insurance, a small amount is paid to the insurance provider as premium every month/year for them to cover complete or partial charges if in case one needs medical treatment. People most often may not have the kind of money required in one go. Health insurance provides a coverage and acts as a safegaurd in such catastrophic situations.

Preventive measure such as vaccinations shot up healthcare cost making health insurance all the more essential.

It makes healthcare accessible as well as affordable.

Because the insurance company provides a certain amount of coverage they expect the healthcare providers to give quality care, thereby decreasing the chance of the patient needing hospitalisation or medical care again. The quality of care has increased.

Lifestyle changes and a more mindful population, concerned with health has increased thereby increasing the demand for physicians and hospitals.

Since it reduces the out of pocket expenditure, people now not only visit hospitals and physicians in emergency cases, but also as a routine practise to assess their health status.

Health insurance could be provided by the government such as Ayushman Bharat in India. Or it could be given by private organisations or Not for profit organisations.

Health insurance is mandatory as oppossed to earlier where people could choose if they wanted it or not.