The Story:
The Republic of Singapore, a thriving city-state on an island off the southern tip of the Malay peninsula, is widely considered a successful example of how a sovereign can achieve universal health-care coverage in a way that melds the public and private sectors.
Significance:
The universal catastrophic insurance in Singapore is MediShield Life. Payments are mandatory for all citizens. The policy covers hospital stays and certain costly outpatient treatments. Separately, citizens and residents (and their employers) are also expected to pay into MediSave, a national savings scheme, that helps with out-of-pocket expenses.
There is also MediFund, a safety net for needy Singaporeans. It was established in 1993 and has gradually expanded its coverage since.
Singaporeans who can afford and desire more coverage than the mandated plans offer (about 2/3ds of the population) pay into one of several Integrated Shield Plans.
In Pill Form:Â
Tax-funded revenues end up funding only about one-quarter of Singapore’s health care costs, quite a low percentage in global terms. This is in part because cost-containment is draconian. The government owns most hospitals outright and leverages that position to keep drug costs, staff salaries, etc. low. It is a fascinating system, but it likely would not travel well.
