Response to the Post
In this post, my friend is talking about health insurance, and the challenges facing the health industry. The post begins by the definition of health insurance, and he defines it as a method ion which insurance companies seek to offset and finance the healthcare of their patients. However, it is not for free, because the patient has to subscribe to an insurance firm, and pay monthly or annual fee for the health care insurance services. From this argument, it is possible to denote that the post does a good job in defining health care insurance: the definition is precise and to the point.
Moreover, the post examines the weaknesses of private insurance companies. From this post, we are able to learn that patients normally pay a huge amount of money to private insurance firms, only to receive substandard medical services. Nonetheless, the post does not explain the reasons why these private medical insurance firms do not sponsor or pay for quality medical services, (Folland, Goodman & Stano, 2016). The major reason is the fact that the cost of accessing quality medical services is high. Note that, insurance companies have an aim of making profits; thus, they will always be restricted to paying medical bills based on the amount of premium that a patient contributed. This is the reason why people who pay high amount of premiums are able to have an access to better medical services.
Finally, the post provides important insights on private healthcare insurance and the various challenges that the industry passes through. It was therefore interesting and fun to read it.
Folland, S., Goodman, A. C., & Stano, M. (2016). The Economics of Health and Health Care: Pearson International Edition. Routledge.