Question

Discuss the intermediary role of insurance in the delivery of health care.

a) Insurance facilitates direct payment between patients and providers.
b) Insurance acts as a financial intermediary, pooling risks and funds.
c) Insurance limits access to healthcare services for individuals.
d) Insurance eliminates the need for healthcare financing.

Answer 1

Insurance plays an intermediary role in the delivery of healthcare by facilitating direct payment, acting as a financial intermediary, and aiding individuals in accessing healthcare services.

Step-by-step explanation:

Insurance plays an intermediary role in the delivery of healthcare in several ways:

1. Insurance facilitates direct payment between patients and providers, allowing patients to receive healthcare services without having to pay the full cost upfront.
2. Insurance acts as a financial intermediary by pooling risks and funds. This means that the costs of healthcare services are spread across a large group of individuals through insurance premiums, making healthcare more affordable and accessible.
3. Insurance does not limit access to healthcare services for individuals. In fact, it helps individuals access healthcare services by covering a significant portion of the cost.
4. Insurance does not eliminate the need for healthcare financing. While insurance helps cover the cost of healthcare services, individuals still need to pay insurance premiums, deductibles, and copayments.