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*Course Name: Financial Management for Healthcare HCM 213

I need new and unique answers, please. (Use your own words, don't copy and paste)

( Please i need more than 500 words please)

EXHIBIT 1.8 FACTORS AFFECTING THE COST OF CARE Factors Contributing to Decreases in Costs • Value-based purchasing • Management of physician preference in medical devices Factors Contributing to Increases in Costs • Emerging medical technology Genric drugs coming onto the market • Chronic diseases . More robust use of health IT to manage populations and prevent medical errors • Aging population • Lean/Six Sigma initiatives • Influx of participants into the market due to extended coverage and insurance mandate Professional liability and malpractice costs Informed consumers responsible for more of the cost of care • Workplace wellness and employer programs

Each student should write a page and a half about any factor that contributing in decreasing or increasing the cost of healthcare.

I need new and unique answers, please. (Use your own words, don't copy and paste)

( Please i need more than 500 words please)

Answer 1

The actual cost of providing health care services include the cost of procedures, therapies and medications. Health care spending cost are very complex and involves a number of factors.

There are several factors which contribute to the increase in health care cost.

1. medical technology/ service utilization

2.population growth

3.population aging

4.disease prevalane or incidence

5.health insurance coverage

6.cost of malpractices

Modern medical technologies have a much effect on health care spending growth. Medical advances can improve and extend our life. Doctors and patients demand newest technologies for the better health outcome.

Medical service get more expensive when the size of the population is large ( as the people get older and live longer). 50% of increase in the health care cost comes from increased cost of inpatient services.

Large number of population have chronic diseases or life long diseases like asthma.diabetics, heart diseases  which rise up the health care cost.

Health insurance help the patient to seek most effient and lowest priced medical care. Government program have incresed overall demand of health care services leading to an increse in cost by including large number of population into the schemes.

Doctors prescribe unnecessary procedures and treatment out of fear of facing law.

Factors contributing to decrese in health care cost

1.Value based health care

2.Use of generic drugs over brand name drugs

3.Eliminating unnecessary treatments

4.six sigma

5. Work place wellness and employer programes

value based healthcare is an innovative model followed by various halth care serviers to reduce the health cost and improve the patients health. value based care is depend on quality of care instread of quantity.

The advantage of using generic drugs is cost saving. generic drugs are more affordable than brand name drugs. Ths lower cost make the people to continue their medication until they recover completely. HIgher cost medication force the people to discontinue it after a while.

physicians should provide proper treatment to the patients. Do diagnostic tests which are necessary and avoid dangerous tests.

six sigma can be used to reduce the errors occuring during services. It is an emerging health care concept This will help to improve the quality of the health and reduce wsting.Six sigma gives an idea to health care providers how to manage the procedures and resources.

work place wellness and employer programes becomes popular method to reduce/ lower health care cost. This programes can minimize the heath cost by keeping the heath care employees healthy and manage their health concers.

Answer 2

FACTORS CONTRIBUTING IN INCREASING OR DECREASING THE COST OF HEALTH CARE

One of the major factor that tends to increase the cost of health care is chronic diseases that are increasing our mortality and morbidity rates day by day. Some of them are Alzheimer disease and dementia, arthritis, asthma, cancer, diabetes e.t.c. As we all know these conditions are due to lack of proper diagnosis, treatment and followup. In fact, lack of proper knowledge may also contribute to the same. Some undeveloped countries and developing countries have less financial resources to provide proper education to the population who are at risk. the problem starts there. Some people who are reluctant to take essential care besides having knowledge have to face the same. The government in the health care sector has to spend more money in order to identify these groups to tackle the situation in there limits. As we all know prevention is better than care, the money that our government spends for the preventive aspect will be a vain without proper participation of the vulnerable ones. Annual screenings, early interventions and lifestyle changes hold great potential to control the conditions. But due to industrialization the cost of living is increasing and the population is also increasing. the reach of care to each and every individual will be limited to the most vulnerable group which will be costly that poor population cannot even think to utilize them properly. To control these situation, the best method is prevention by changing our lifestyles that contribute the condition and by utilization of all the available facilities of screening. With the effective use of available resources and proper campaigning programs it will be helpful to limit the health care cost to the need one without any difficulty.

most of the chronic condition are tend to have genetic origin. It is very difficult to identify the genetic inheritance and autoimmune response of the body of many conditions that lead to chronic conditions. The screening test available are also costly to carry out.

the treatment or the medications available for the conditions are also cost high that even people can't afford them. It causes a financial burden to the healthcare sector in purchasing the medications for treatment.

Lack of human resources and proper placement and management of them is yet another cause. in most of the health care sectors there is less effective use of the resources available. these causes loss of the facilities available and later cause financial loss. most of hospital management use less worker to handle situations confronting them. Because of this workers have burden on them leading to provision of least competent care and management.

The variance in the health sector also contributes to the health care cost. the government sectors who are providing competent and low cost care and at the same time private sectors who are providing care with high cost is also a matter of discussion. the government now a days provide free or low cost care, diagnostic help and treatment. Insurance policy provided by many sectors also has positive and negative effects on the financial status.

Answer 3

United states spending higher health care costs than any other country. it is important to know the factors when it is increasing health costs. factors increasing health care cost including an aging population, cost of care, chronic disease and technology innovation make the health care cost too high. epidemiologic data on disease burden increase more expensive health costs. care in emergency, ambulatory, inpatient and pharmacy, nursing facility increase health care spending on getting service in that. disease burden on chronic conditions and communicable diseases have high health care cost rates than any other disease. Population age and size structure making annual spending more every year. Diabetic spending in ambulatory care settings has the highest health care cost spending and second-largest increase in acute pain symptoms and inpatient care increases health care cost. Older age group nursing facility spending has the highest spending.
Younger adults dental care and emergency care has higher health care spending. health care service price and product prices for all conditions make bog impact on health care spending. Technology innovation and improvement make health care spending growth higher than usual. High market power increase hospital price double. less insurance coverage reduced patient incentives for low-cost health care services. high price and intensity of service utilization make high health care cost spending when the people care to get older. The higher cost of medical professional liability as a growing concern with a policymaker, medical professionals, and health care consumers. when medical professional liability insurance premium costs involve in risk incurring claims of the cost that will not be covered under professional liability insurance and it increases health care cost and causes an economic impact.

Answer 4

#. Health care costs: costs incurred by individuals when they receive health care services

1) price of health care services: consumers and financiers speak of the price of health care services as the cost of health care

2) national health care expenditures: refers to how much a nation spends on health care services → reflects the consumption of economic resources in the delivery of health care

3) provider perspective: notion of cost refers to staff salaries, capital costs for building and equipment, rental of space, purchase of supplies, and other costs of production

US should control the rising costs of health care because :-

Rising healthcare costs mean that Americans have to forgo other goods and services when more is spent on health care

Economic resources should be directed to their highest-valued uses, even though consumers decide how much should be spent on purchasing a product or service based on their perception of the value they expect to receive

#. The major factors contributing to the high costs of health care.

-Third party payment

Contributes to moral hazard and provider-induced demand because it insulates consumers against the cost of health care

-Imperfect market

Utilization of health is driven by need rather than economic demand, the quantity of healthcare services produced and delivered is likely to be much higher than in a competitive market, and the prices charged for health care services will be permanently higher than the true economic costs of production

-Growth of technology

Research and development are costly, and are included in health care expenditures. Once developed, new technology often creates its own demand

-Increase in elderly population

They consume more healthcare than younger people

-Medical model of healthcare delivery

Medical interventions are costlier than prevention and health promotion

-Multi-payer system and administrative costs

Administrative costs in a multi-payer system are nearly double of what they would be in a single payer system

Answer 5

FACTORS CONTRIBUTING TO INCREASE AND DECREASE IN COST OF HEALTH CARE

1. Introduction
2. Factors causing an increase in the cost of healthcare services
3. Factors that can reduce the cost of health care services
4. Future directions
5. Conclusion

INTRODUCTION

The prevailing condition of pandemic disease along with chronic underlying systemic disorders calls for increased availability of healthcare. The cost of service provided is incomparable with other sectors, as human lives are involved, requiring drugs, diagnostic and therapeutic machinery, equipment and trained personnel. With the advent of insurance schemes, a significant financial burden has been lifted pertaining to the medical requirements of individuals. As in all other services, the cost of healthcare services is dependant on numerous factors.

FACTORS CAUSING INCREASE IN COST OF HEALTH CARE SERVICES

An increase in the cost of healthcare may be attributed to the following factors:

1. An unexpected and frequent, life-threatening infectious disease, that spreads all over the world, infecting a majority of the world population and alarming death toll.

2. An increase in the aging population, with chronic, debilitating diseases which requires constant monitoring and management.

3. Unpredictable changing trends in the incidence, spread, progress and prognosis of diseases.

4. The requirement of research in developing vaccines, drugs, and materials to combat newly incident diseases.

5. An increase in the proportion of population accessing health care facilities

6. Lifestyle diseases such as diabetes, obesity, hypertension, hormonal imbalances being prominent diseases.

7. Increased need for in vitro fertilization and other treatments to manage infertility.

8. Lack of cost transparency of drugs, stents, and materials used for treatment.

9. The increased cost of advanced investigations such as radiological imaging, blood investigations and microbiologic examination.

10. Lack of knowledge among insurance providers regarding the actual need and supply of medical facilities.

FACTORS THAT HELP TO REDUCE COST OF HEALTH CARE SERVICES

      Some of the key areas that reduce the cost of health care are:

1. Value-based purchasing of materials, based on an evidence-based study on the actual needs in health care.

2. Well educated and informed consumers, who make use of insurance schemes responsibly.

3. Schemes by employers and management to look after the holistic wellness of their employees and their families.

4. Involvement of medical personnel in the purchase, the decision of the material cost and running of medical institutions.

5. More robust use of digitalized systems to maintain records and do away with medical errors

6. More generic drugs being introduced in the pharmaceutical market.

7. Filtering patients who require investigations and treatments.

8. Involvement of more primary health centers to diagnose and provide treatment at the early stages.

9. Encourage regular check-ups and follow up for prevention and early diagnosis.

10. Ensuring training of health care professionals and assistants to operate advanced hospital equipment.

11. Inform, educate and spread awareness among the general public regarding insurance schemes, newer drugs, and vaccines.

FUTURE DIRECTIONS

1. Research on the molecular level and gene therapy to modulate the response of individuals to diseases.

2. Increase accessibility of the public to primary health care services

           CONCLUSION

                                            The cost of health care is an area of concern, both for the individuals as well as the governments. Considering the dire need of these services for all, measures to curb unnecessary expenses and prevent fraudulence must be taken at all levels. Thus the quality of life of the entire population can be elevated on a significant dimension.

Answer 6

Financial management is very important in the healthcare field. The increase or decrease in costs can affect the daily works in health care. Products and services of health care have to be used in a cost-effective and efficient manner. Cash management in an organization ensures sufficient funds for the purchase of emergency products.

Increasing and ageing population is the main factor for the increase in healthcare costs. In addition, chronic diseases, way of using healthcare services also contribute to the rapid increase in health care costs. Choosing the right health care plan, understanding and utilizing the healthcare benefits from the government, choosing the right health care insurance, taking the appropriate prevention method etc can help to cut down the cost of health care.