Health financing Key messages

Experience demonstrates that real progress is possible in countries at all income levels. Each country’s pathway will differ depending on the local context, however the above lessons are essential for equitable and effective progress.

Country experience should be looked at through the lens of the health financing functions, rather than labels, and can provide valuable lessons. Labels such as “social health insurance,” “community insurance,” or “tax-funded systems” have little meaning by themselves and hide the complex choices and options available to countries as they raise, pool, and use funds to ensure the availability and use of quality services.

Health system financing is an essential component of UHC but progress toward UHC also requires coordinated actions across the pillars of the health system with particular attention to strengthening human resources for health.

Health financing

Health financing is a core function of health systems that can enable progress towards universal health coverage by improving effective service coverage and financial protection. Today, millions of people do not access services due to the cost. Many others receive poor quality of services even when they pay out-of-pocket. Carefully designed and implemented health financing policies can help to address these issues. For example, contracting and payment arrangements can incentivize care coordination and improved quality of care; sufficient and timely disbursement of funds to providers can help to ensure adequate staffing and medicines to treat patients.