CREATION A NATIONAL CATASTROPHIC DRUG TRANSFER
ISSUE: Should the government of Canada introduce a national pharmacare program?
RECOMMENDATION: Canada should create a new National Catastrophic Drug Transfer, which should be financed using the Commission on the Future of Health Care in Canada’s suggested financing scheme.
BACKGROUND:
The National Forum on Health (NFH), active from 1994 to 1997 under the direction of Prime Minister, Jean Chrétien, sought to find ways to address healthcare and the health of Canadians. (1) Among the long list of health related issues addressed by the NFH, the recommendation of a publically funded pharmacare program. This call has been echoed again by the Commission on the Future of Health Care in Canada, (2)
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(4) However, as these programs are administered by one level of government, with no requirements to meet a uniform standard, public drug coverage can vary widely.
The Canada Health Act (CHA) underpins the contemporary expectations that the Canadian people have for public healthcare in Canada; it sets out the five conditions that provinces meets in order to receive federal funding, the Canada Health Transfer (CHT). These conditions are: public administration, comprehensiveness, universality, portability, and accessibility. These conditions are set by the federal government, but are not binding for any province to follow, provinces must voluntarily agree to sign up. The Constitution Act of 1867 divided powers in Canada, gives the control of healthcare to the provincial governments (S. 92 (7)). The federal government has greater ability to tax, than it has requirements to spend, when compared to the provinces. The 2015 Canadian Budget notes that, “…according to the Organisation for Economic Co-operation and Development (OECD), nearly 50 per cent of all tax revenues in Canada were collected by provincial, territorial and local governments…” which is a higher share than other federations such Switzerland, the US, or Germany. (5) Of course, this does means that 50% of all tax revenues in Canada go to just one level, and a level that is not required to pay directly for expensive areas of public policy, such as education or
Health care expenditure accounted for an estimated 11% (214.9 billion) of Canada’s GDP in 2014 (CIHI, 2014). Canada boasts a universal, cost-effective and fair health care system to its citizens (Picard, 2010). However, despite great claims and large expenses incurred Canada’s health care system has been reported inefficient in it’s delivery to the population (Davis, Schoen, & Stremikis, 2010; Picard, 2010). As inconsistencies exist in health care delivery across the country, choosing priorities for the health of the Canadian people becomes of vital importance. In Ontario, progress toward a better health care system has been stated to be moving forward by putting the needs of the “patient’s first” (Ministry of Health and Long-Term Care [MOHLTC], 2015). This policy brief will give a background of health care issues in Canada related to Ontario. Three evidence-based priorities will be suggested for Ontario’s health policy agenda for the next three to five years. Furthermore, through a critical analysis of these issues a recommendation of the top priority issue for the agenda will be presented.
In order to sustain the health care system, the Canadian government needs to strategically plan for the years ahead and invest more in preventative care rather than curative care. Canada should enforce non-medical health policies which are not only going to promise healthy living for
This paper will discuss the Canadian healthcare system compared to the United States healthcare system. Although they’re close in proximity, these two nations have very different health care systems. Each healthcare system has its own difficulties, and is currently trying to find ways to improve. Canada currently uses the Universal Health Care system; which provides healthcare coverage to all Canadian citizens (Canadian Health Care, 2007). The services are executed on both a territorial and provincial basis, by staying within the guidelines that have been enforced by the federal government (Canadian Health Care, 2007).
When asked to describe what makes Canada unique compared to other countries, many outsiders might yell out “Hockey!” “Cold Weather!” or “Free Health Care!.” Health care is definitely one of Canada’s most noticeable trademarks when compared to the United States, but the reality is that our health care services are not what they are made out to be. Canadians tend to take pride in the fact that they have a Government funded health care system, but the system is failing at a rapid pace. One can gage the quality of health care in our country while at the emergency ward in any hospital, where most Canadians realize its downsides. The Government spends most of its budget towards health care but Canadians are not feeling an improvement. Waiting
Its purpose is to provide facilities that already exist with health services and resources to provide the best possible health for Canadians (Royal Commission on Health Services, 2004). Public policy refers to the governments role in achieving an objective causing a change in society through major priorities. In this case the priority here is for every Canadian to have adequate an effective health regardless of their socio-economic status. (Role of Knowledge in Public Health, n.d., pg 89) However, this priority becomes controversial when political parties begin to get involved due to power shifts. The dilemma here is not about who is eligible to retrieve medical services but rather the policies that are made by the influence of other institutions such as marketing companies and political parties that result in health
Canada 's healthcare system is praised globally for its universal and free healthcare. It started to take shape after World War II in 1945. Health insurance was introduced and was attempted, but was not successful even though there was an increase in the spending of health related services and goods. Fast forward a few years to 1961 where Tommy Douglas, the premier of Saskatchewan, developed the idea for an all-inclusive insurance plan. He later inspired the Medical Care Act in Canada in 1967, when he pointed out health care is a right for all Canadians. From this one thought, Canada has become of the many countries with a universal health care system. Ever since Tommy Douglas sparked the idea for health care coverage, Canada is praised for the way it carries out its system because of several key features. This system is publically funded, is universal and is accessible to everyone across the nation. Because this is a public system, funding comes from the tax payers and some federal funding, so there is no extra cost for the patients. Also, being a universal system it has offered care to all Canadians, immigrants and visitors. Unlike the U.S who does not provide healthcare to its entire population because it is a private system; access depends on how much someone could afford, and how
In the book on a citizens guidelines to policy and politics, Katherine Fierlbeck argues that “The 1983 Canada Health Act replaced the 1947 Hospital Insurance and Diagnostic Services act because of the shift from a system of 50-50 federal-provincial cost sharing to a system of block funding established in Ottawa in 1977” (Fierlbeck 2011, pg.20). Until the period of the mid 1980’s, the Canadian health care system is to be categorized in a disarray, having no foundation to components and accomplishment. The system is to rely mainly on cost sharing; whereby in a health insurance policy only a portion is paid by the health insurance. While enabling the insured party to pay a portion of the price of covered services. In this case, cost sharing is based on 50-50 provincial and federal cost-sharing agreement to a fault. By Ottawa giving tax transfers to the provinces in replacement of direct transfers, but the federal government had no capacity to conceal cash. This in return is able to affect provinces because it deprived the federal government effective, efficient, and responsive measure of provinces holding the five principles of the Canada health care. According to About Canada Health Care, Pat Armstrong and Hugh Armstrong speaks about the five principles of health care, which are; “Public administration, Comprehensiveness, Universality, Portability, and Accessibility” (Pat Armstrong & Hugh Armstrong 2008, pg.28). These five principles holds the provinces accountable to the
Since 1984, Canada has established a publicly funded healthcare system through the provisions of the “Canada Health Act,” which states that the objective of Canadian health care policy is to “facilitate reasonable access to health services without financial or other barriers” (“Canada Health Act” 1). However, many Canadians feel Canada’s healthcare system is financially restricting. This system does not cover many prescription drugs or speciality drugs, which are needed for 41% of Canadian citizens aged 6-79 years old (Rotterman, Michelle et al. 1). This excludes elderly citizens who require even more medications. According to the Canadian Institute for Health Information it is estimated the provincial and territorial governments spent $10.4 billion on prescription medications in 2014 (Matteo, Livio Di 2).
In the past, Canada’s government-funded, universally accessible, health care system has been praised and admired both at home and abroad as one of the finest in the world. A great source of pride and comfort for many Canadians is that it is based on five fundamental principles. Principles that are a reflection of the values held by Canadian citizens since the formation of Medicare in 1966. These principles were reinforced in the Canada Health Act, (CHA), of 1984 and state that the Canadian system is universal, accessible, portable, comprehensive and non-profit.
Under this system individual citizens are provided preventative care and medical treatments from primary care physicians as well as access to hospitals, dental surgery and additional medical services. With few exceptions, all citizens qualify for health coverage regardless of medical history, personal income, or standard of living. (Canadian Health Care, 2004-2007) These insurance plans are provincial or territorial and are financed by both the federal and the provincial authorities. Provinces are similar to states in the US, and Canada has 10 provinces, which are Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, Quebec and Saskatchewan. From about 1940 to 1950 the American government stepped in and encouraged employers to offer health insurance as a part of employee compensation packages which in turn the supply of health insurance increased as more and more commercial insurance companies entered the market and the use of healthcare increased as medical technology became more sophisticated.
The Canada Healthcare act [R.S. 1985, c. C-6] passed in 1984. It ensures that all residents of Canada have an equal access to necessary physician services, no extra billing from physicians and hospital. The act is on five main principles, Public administration necessary services are to offer on a non-profit basis. Next, accessibility coverage with no extra charges and comprehensiveness coverage for all medically necessary services at all times. Portability coverage is to extend to all residents in all provinces and territories. The fifth principle is universality coverage for all eligible residents of all provinces and territories (SEDAP, 2007).
Canada’s health care system “can be described as a publicly-funded, privately-provided, universal, comprehensive, affordable, single-payer, provincially administered national health care system” (Bernard, 1992, p.103). Health care in Canada is provincial responsibility, with the Canada Health act being a federal legislation (Bernard, 1992, p. 102). Federal budget cuts, has caused various problems within Medicare such as increased waiting times and lack of new technology. Another problem with Medicare is that The Canada Heath Act does not cover expenditures for prescriptions drugs. All these issue has caused individuals to suggest making Medicare privatized. Although, Canada’s health care system consists of shortcomings, our universal
In the first Hall Royal Commission, Pharmacare is outlined as recommend in joining the covered benefits for Canadian citizens - Canadians pays slightly less than their U.S. counterparts for Pharmaceuticals (Armstrong, p51). Privatization influences an unequal system - creating significant hindrances for impoverished people in Canada, again creating a rich-poor divide that does not influence equality, which is the essence of the Canadian Health Act. As pointed out in The Canadian Regime, “In European Countries, drugs are covered by public insurance schemes. Why not do the same in Canada?” (Malcolmson, p226). Further, Malcolmson describes the possibility for the government to generate a type of bulk buying scheme - where we as a country can
In this paper, the USA healthcare system is being compared to the Canadian healthcare system. The U.S. health system has been described as the most competitive, heterogeneous, and inefficient, fragmented, and advanced system of care in the
In an article in the Mayo Clinic Proceedings, the doctors laid out their long list of proposed reforms, which includes allowing Medicare to negotiate with drug companies for lower costs. The group also wants patients to be allowed to get medication from Canada, which some Medicare negotiate prices with pharmaceutical companies and letting patients import less expensive medicines from other countries like Canada. The experts’ article notes the same cancer drugs in Canada cost about half of what they do here in the U.S.