Financing Methods and Principles

Methods of Financing

There are different methods of financing healthcare services and programs. The differences originate in system characteristics, organization of healthcare services, tradition, capacity development level, economic potential of the society, system objectives, etc.
Methods of payment for healthcare services used within a country differ among branches of industry and type of services, or time periods, laboratory services, etc.

Principles of Financing

The basic issue in relation to financing healthcare is to collect sufficient funds by applying an adequate method of funding. The amount of funds received as income (regardless of the method of financing) mainly depends on how much the state is willing to allocate, in terms of other objectives (higher labour costs), in order to increase consumption within the healthcare system.