A free market health care system is a type of system where there’s little or no government intervention. In this system, health care providers have the freedom to offer their services without requiring to fulfill strict regulation standards (click here for more info). Consequently, they don’t have to comply with any restrictive government licensing. Such a system has a number of benefits as listed below.
A free market system can greatly enhance the quality of services in the health care industry. In order to remain competitive, the health care sector will be inclined to enrich and improve their services. They’ll adopt a better business model to provide high-quality services to clients.
Due to competition, cost will be reduced to a great extent. In order to win customers, businesses will find ways to cut down their operational cost. This reduced cost will be transferred to customers in terms of low treatment charges. Although low cost could be associated with inferior quality services, heath care providers will be compelled to present better services to survive and beat the competition.
Traditional health care systems are highly inefficient. Whether it’s management or doctors, nobody bothers to improve the efficiency of the system. However, free system will motivate and push health care providers to improve their efficiency at all levels and in all corners of their services. Enhanced efficiency will lead to higher productivity within a given health care organization. The higher the productivity, the lower the cost and better the services will be.
A free market health care system will privatize the health sector, bringing about drastic changes in the arena of administration and management. Health care providers will work hard to provide best services in an efficient and cost-effective manner. For these reasons, many experts advocate this innovative system in the health care field.