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Universal Insurance for Pharmaceuticals in Switzerland and the Netherlands

Governments continue to ignore positive health reform lessons of countries such as Switzerland and the Netherlands—including on pharmacare



Governments continue to ignore positive health reform lessons of countries such as Switzerland and the Netherlands—including on pharmacareVANCOUVER—A new study released today by the Fraser Institute highlights positive reform lessons from Switzerland and the Netherlands—two countries that provide universal access to high-quality health care with shorter wait times, greater availability of medical resources, and often superior outcomes compared to Canada. And importantly, both countries also maintain universal coverage for pharmaceuticals.
“Many proponents of national pharmacare note that Canada is the only industrialized universal health-care country that does not provide universal coverage for prescription drugs, but those same proponents often ignore the fact that other countries provide universal health care markedly differently than Canada,” commented Kristina Acri, professor of economics at Colorado College and the co-author of the study Universal Insurance for Pharmaceuticals in Switzerland and the Netherlands. Both Switzerland and the Netherlands provide universal access for all health-care services (including pharmaceuticals) through a regulated—but competitive—market of private insurers. Individuals are required to pay health insurance premiums and are subject to some cost-sharing (co-payments and/or deductibles). Low-income citizens and those facing high drug costs are protected through premium discounts, cost-sharing exemptions and other public-safety nets. “Canadians would be well-served if their governments recognize the successful universal health-care systems in other countries such as Switzerland and the Netherlands as a model for reform, including covering prescriptions drugs,” Acri said. A sign of governments continuing to ignore these positive reform lessons from other countries is the federal government’s recent report on national pharmacare. It proposed a “single-payer” model where government (funded by taxpayers) pays for coverage, which would likely replicate many of the observed failures in Canada’s current single-payer health-care system. “Before making a monumental change to pharmaceutical coverage in Canada, policymakers should consider broad health-care reform that would include new and better ways to ensure drug coverage for Canadians,” said Bacchus Barua, study co-author and associate director of the Fraser Institute's Centre for Health Policy Studies. Media Contact: Kristina Acri, Senior Fellow, Fraser Institute Bacchus Barua, Associate Director, Health Policy Studies, Fraser Institute To arrange media interviews or for more information, please contact: Mark Hasiuk, Fraser Institute mark.hasiuk@fraserinstitute.org

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Fraser Institute——

The Fraser Institute is an independent Canadian public policy research and educational organization with offices in Vancouver, Calgary, Toronto, and Montreal and ties to a global network of 86 think-tanks. Its mission is to measure, study, and communicate the impact of competitive markets and government intervention on the welfare of individuals. To protect the Institute’s independence, it does not accept grants from governments or contracts for research. Visit fraserinstitute.org.

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