Health Care Insurance Essay Example | Topics and Well Written Essays - 500 words

Health Care Insurance - Essay Example Insurance are bought because it serves as a protection for people against diseases especially those that are fatal, extremely disabling and from painful medical conditions as well as the crippling cost of their treatment. In a way, insurance is also saving for the future for an individual and his family who is concerned of health risks. This is a major reason that drives people to purchase health insurance. Other considerations include the variables defined by economic theories such as rational choice theory, wherein costs and benefits are assessed to achieve the best trade-off in the economic exchange. The degree of importance attributed to health both by the public and the state makes health insurance different from other types of insurance that people pay for their properties such as cars and houses. The insurance involve health and well being of people. Pauly explained that in considering potential insurance coverage of two risky prospects with the same expected value, the person attaches more value to the coverage with lower probability but higher loss-event, sacrificing premiums so that money can be funneled to the insurance that means more to the individual (p.657-658). There is also a moralit y aspect in being able to contribute resources, which can be allocated to help care for those who truly need it (Getzen, 2010, p.50). In the United States, there is no national insurance coverage. This has been the case since insurance plans were introduced in the country in the past. Because of this, the private insurance companies have flourished. Government involvement in the industry only came after the Medicaid and Medicare were established in 1965 - two federal funded programs that provide affordable insurance to the needy. Today, healthcare coverage became a national priority. President Barack Obama has pushed for a universal healthcare coverage, which