Frequently Asked Questions: Single-Payer Health Insurance

July 10, 2007

What is single-payer health care?
A single-payer health care system provides all people residing in the U.S. with accessible, consistent, quality health care. The government assumes the role of payer and reimburses doctors, hospitals, and other providers directly for health services. This system eliminates the need for intermediary for-profit health insurance companies.

What is the difference between single-payer health care and socialized medicine?
Socialized medicine is a system in which doctors and other health care professionals are government employees and the government operates the hospitals. Great Britain and Spain have socialized health care systems. H.R. 676, the U.S. National Health Insurance Act, is not socialized medicine.

In contrast, a single-payer system works like the current U.S. Medicare program in which the government pays for care that is delivered by private sector doctors. Doctors and health professionals are not employed by the government. Rather, they are in private practice and are paid on a fee-for-service basis through government funds. Health care providers manage their medical practices. Hospitals will be public or not-for-profit institutions.

What is the purpose of single-payer health care?
To provide health insurance coverage for all people residing in the U.S.; to reduce health disparities; and to offer high quality, cost-effective, culturally appropriate care to all individuals.

What would single-payer health insurance cover?
All medically necessary services, including, but not limited to, primary care and prevention, prescription drugs, emergency care, mental health services, dentistry, eye care, and substance abuse treatment.

We must ensure that a single-payer health care system covers the full range of medical services and care that meet the specific needs of girls and women.

Who would be eligible?
All individuals residing in the U.S., including all territories, regardless of health status.

Where would the funding this come from?
Potential sources of funding include existing Medicare funds, a payroll tax on all employers, a health tax on top income earners, and a small tax on stock and bond transfers.

What are the out-of-pocket expenses?
There would be no health care insurance deductibles and or co-pays. All payments would be made through the single-payer plan.

Want more info? Check out Physicians for a National Health Program or Healthcare-Now.