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System of Health Accounts 2018

Financing Schemes of Health Care Services

Financing schemes of Health Care Services

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Who pays for Health Care?

Financing schemes for health care are the arrangements through which people pay for and obtain health services. There are three main categories of financing scheme: Government & compulsory schemes (HF.1), Voluntary health care schemes (HF.2) and Direct payments by households or Household out-of-pocket (HF.3). Further details are available in the background notes.

Most expenditure on health (74%) was financed by government, while voluntary health contributions, which are predominantly private health insurance, funded 14% and the remaining 12% was paid for by household out-of-pocket payments. The share of spending between the classification groups has changed very little over time (see Figure 2.1).

There was a rise of 24% in health spending by government between 2014 and 2018. Private health insurance payments for health care grew by 12% in the 5 year time frame and there was very little change in household out-of-pocket expenditure over this period, (see Figure 2.2 and Table 2.1).

X-axis label	Government	Voluntary Payments	Household Out of Pocket
2014	13386.6837349666	2818.31720281165	2645.22018573497
2015	13854.6053907424	2835.20285923916	2542.14200710066
2016	14592.2827927332	2998.85202331859	2552.06049684754
2017	15473.7649874725	3109.01874248695	2676.47854674605
2018	16589.7953527654	3148.94478531743	2712.90576824904

	Current Health Care Expenditure By Health Care Financing Scheme (% Change between 2014 to 2018)
Government	23.9275961187621
Voluntary Health Care Payments	11.73138290381
Household Out-of-Pocket	2.55878822031813

Table 2.1: Current Health Care Expenditure by Financing Scheme, 2014 to 2018

Where do the Financing Schemes source their revenue?

Table 2.2 shows the revenues of financing schemes for health care. See the Background Notes for more information on this classification.

Most of the revenue for the government's expenditure on health care came through internal government transfers, social insurance contributions (such as PSRI) cover a tiny percentage of government spending on health care (1%). The revenues of the Voluntary Health Contributions are predominantly voluntary prepayments for health insurance premiums, (see Table 2.2).

Table 2.2 : Revenues of Health Care Financing Schemes, 2018

Next Chapter >> Expenditure by Providers of Health Care

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Table 2.1: Current Health Care Expenditure by Financing Scheme, 2014 to 2018
								€million	% of total	% of change
ICHA-HF Code				2014	2015	2016	2017	2018	2018	2014-2018
HF.1		Govt Financing Schemes and Compulsory Contributory Health Care Financing Schemes		13,387	13,855	14,592	15,474	16,590	74	24
	HF.1.1		Government	13,323	13,795	14,528	15,396	16,453	73	23
	HF.1.2		Compulsory Contributory Health Insurance	64	60	64	78	137	1	114

HF.2		Voluntary Health Care Payment Schemes		2,818	2,835	2,999	3,109	3,149	14	12
	HF.2.1		Voluntary Health Insurance	2,406	2,453	2,600	2,686	2,702	12	12
	HF.2.x		Other Voluntary Care Payment	413	382	398	423	447	2	8

HF.3		Household Out-of-Pocket Payments		2,645	2,542	2,552	2,676	2,713	12	3

		Total		18,850	19,232	20,143	21,259	22,452	100	19

Table 2.2 : Current Health Care Expenditure by Revenues of Financing Schemes, 2018
								€million
ICHA-FS Code	Govt and compulsory contributory health care financing	Government	Compulsory contributory health insurance	Voluntary health care payment	Voluntary health insurance	NPISH financing	Household out-of-pocket payment	Total
	HF.1	HF.1.1	HF.1.2/1.3	HF.2	HF.2.1	HF.2.x	HF.3
FS.1 Transfers from Government domestic revenue	16,453	16,453						16,453
FS.1.1 Internal transfers and grant	16,453	16,453						16,453

FS.3 Social Insurance contributions	137		137					137
FS.3.1 From employees	29		29					29
FS.3.2 From employers	99		99					99
FS.3.3 From self-employed	8		8					8

FS.5 Voluntary Prepayment				2,702	2,702			2,702

FS.6 Other domestic Revenues n.e.c.				447		447	2,713	3,160
FS.6.1 Other revenues from households							2,713	2,713
FS.6.x Other revenues from corporations						447		447

Total:	16,590	16,453	137	3,149	2,702	447	2,713	22,452

System of Health Accounts 2018

Financing Schemes of Health Care Services

Financing schemes of Health Care Services

Who pays for Health Care?

Where do the Financing Schemes source their revenue?

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