administrative costs of health care

  1. Hi everyone

    I have a quick question Or I hope it is quick!! :wink2: I am doing a paper on the pros and cons of universal health care and was wondering I read on multiple sources that about 1/4 of privitized health care goes to administrative costs. This does not seem half way reasonable. I was wondering what exacally is administrative costs??
    Thanks everyone
    KENT
    PS. One more quick question is it true with universal health care that prescription medicine is cheaper? If they are how are they?
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    Joined: Feb '05; Posts: 206; Likes: 20

    4 Comments

  3. by   catlady
    Yeah, I'd assume administrative costs would be a lot higher than 25%.

    Administrative costs are all the paperwork costs that don't go directly toward paying the providers.
  4. by   labman
    Quote from catlady
    Yeah, I'd assume administrative costs would be a lot higher than 25%.

    Administrative costs are all the paperwork costs that don't go directly toward paying the providers.
    Ok I get that than. So in universal is it lower then because they aren't so greedy (not guessing the govt. is that efficient hehe)
    kent
  5. by   catlady
    I don't know. Time to do the research!
  6. by   fleur-de-lis
    Look into England's system. They have universal health care. Mexico has universal health insurance, a little different, but might give you some info. You should be able to find some good articles in the journals about this.

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