Healthcare in Canada

Healthcare in Canada: In Canada, healthcare is provided by each province and territory using public funds, which people often call Medicare. This system follows the rules set out in the Canada Health Act of 1984 and is available to everyone. A report in 2002 called the Romanow Report found that Canadians see equal access to publicly funded healthcare as really important. Canadians think everyone must have health insurance, no matter where they live in the country.

In this article, we will take a look at the Healthcare in Canada in great detail.

Let’s get started!

Healthcare in Canada – Background

Canada’s healthcare system reflects important values like fairness and equity. Canadians are willing to share resources and responsibility to ensure everyone gets the care they need. Over time, the system has been changed and reformed to adapt to the country’s growing population and changing circumstances. As healthcare itself changes, the system continues to evolve to meet new needs.

Evolution of Our Health Care System

• Canada’s Constitution, dating back to the 1867 Constitution Act, outlines the powers of both the federal and provincial/territorial governments. Provinces were initially responsible for managing hospitals, asylums, charities, and similar institutions, while the federal government looked after marine hospitals and quarantine.
• Health responsibilities were initially under the federal Department of Agriculture until the Department of Health was established in 1919. Over time, the roles of both levels of government have changed.
• Before World War II, healthcare in Canada was mainly private. However, in 1947, Saskatchewan introduced a universal hospital care plan, followed by British Columbia and Alberta. The federal government later passed the Hospital Insurance and Diagnostic Services Act in 1957, sharing costs for hospital and diagnostic services.
• In 1962, Saskatchewan introduced a universal medical insurance plan, and in 1966, the federal government passed the Medical Care Act, sharing costs for medical services outside hospitals.
• From 1957 to 1977, the federal government contributed half of provincial/territorial expenditures on insured hospital and physician services. In 1977, a new funding system was introduced, providing flexibility for provinces/territories.
• The Canada Health Act of 1984 replaced previous legislation, setting criteria for healthcare. In 1995, federal transfers for healthcare and education were combined into the Canada Health and Social Transfer.
• In 2000, federal, provincial, and territorial governments agreed on health reforms, with increased federal funding. In 2003, they agreed on the Accord on Health Care Renewal, aiming for structural improvements.
• Further reforms were announced in 2004, focusing on various areas including wait times, Aboriginal health, and pharmaceutical strategies. The federal government increased funding to support these reforms.
• In 2007, provinces/territories committed to establishing Patient Wait Times Guarantees and pilot projects to improve access to necessary health services.

Healthcare in Canada – Coverage

Aspect	Description
Coverage by Canadian Medicare	Canadian Medicare provides coverage for approximately 70 percent of Canadians’ healthcare needs.
Coverage by the private sector	The remaining 30 percent of healthcare needs are paid for through the private sector. This includes services not covered or only partially covered by Medicare, such as prescription drugs, eye care, medical devices, gender care, psychotherapy, physical therapy, and dentistry.
Supplementary health insurance	About 65-75 percent of Canadians have some form of supplementary health insurance to cover the remaining 30 percent of healthcare needs. This insurance is often obtained through employers or secondary social service programs that extend coverage to vulnerable demographics such as seniors, minors, and those with disabilities.

Healthcare in Canada – Canadian Healthcare Policy

The main goal of the Canadian healthcare policy, according to the 1984 Canada Health Act (CHA), is to take care of the physical and mental health of people living in Canada. It aims to make it easy for everyone to get health services without facing financial obstacles.

The federal government makes sure that all Canadians can access necessary hospital, doctor, and dental services by giving money to provinces and territories through the Canada Health Transfer (CHT). This money is given based on certain rules about the health services they provide.

In a book from 1987 by Malcolm G. Taylor, he talks about how Medicare started and the discussions between the federal government and provinces about things like who is in charge, how costs are shared, and who can tax. These discussions led to the system we have now, where healthcare is provided to Canadians based on their needs, regardless of their financial situation.

Healthcare in Canada – Minister of Health

Mark Holland is the Minister of Health or Ministre de la Santé in Canada since July 26, 2023.

Attribute	Description
Style	The Honourable
Member of	House of Commons, Privy Council, Cabinet
Reports to	Parliament, Prime Minister
Appointer	Monarch (represented by the governor general); on the advice of the prime minister
Term length	At His Majesty’s pleasure
Inaugural holder	David Dingwall
Formation	July 12, 1996
Salary	CA$269,800 (2019)
Website	www.hc-sc.gc.ca

The minister oversees the Health Portfolio of the federal government, which includes:

• Canadian Food Inspection Agency
• Canadian Institutes of Health Research
• Health Canada
• Patented Medicine Prices Review Board
• Public Health Agency of Canada

As of 2023, the Health Portfolio has around 12,000 full-time equivalent employees and an annual budget exceeding $3.8 billion.

Healthcare in Canada – History of the Department of Health in Canada

1. In 1919, the first Department of Health in Canada was established, but it didn’t have a specific minister assigned to it initially. Instead, the president of the Privy Council was responsible for managing it. Later, in 1921, under Arthur Meighen’s leadership, the minister of immigration and colonization took over the department.
2. In the same year, William Lyon Mackenzie King became the minister of soldiers’ civil re-establishment and managed the Department of Health.
3. In 1928, the Department of Health and the minister of soldiers’ civil re-establishment were combined and became the Department and minister of pensions and national health. But by 1944, this setup changed again.
4. The responsibilities were split into two roles: one for the minister of veterans affairs, handling matters concerning war veterans, and the other for the minister of national health and welfare, overseeing the rest of the portfolio.
5. In 1996, the position of minister of national health and welfare was abolished. It was replaced with the current minister of health. Jane Philpott made history as the first medical doctor to hold this position.

Healthcare in Canada – Health Portfolio

The Health Portfolio is a group of government departments that help the Minister of Health take care of Canadians’ health.

This portfolio includes Health Canada, the Public Health Agency of Canada (PHAC), Canadian Institutes of Health Research, Patented Medicine Prices Review Board, and the Canadian Food Inspection Agency.

As of 2023, the Health Portfolio has about 12,000 full-time employees and a budget of over $3.8 billion.

Here’s the hierarchy within the portfolio:

1. Health Canada
2. Canadian Food Inspection Agency
3. Canadian Institutes of Health Research (CIHR)
4. Patented Medicine Prices Review Board

The senior leadership of the Public Health Agency of Canada (PHAC) includes the Minister of Health, Associate Minister of Health, Minister of Mental Health and Addictions, Chief Public Health Officer, President of PHAC, and the Executive Vice-President of PHAC.

Healthcare in Canada – The Role of Government

Canada’s healthcare system is organized based on the Canadian Constitution, which divides roles and responsibilities between the federal and provincial/territorial governments. Provinces and territories primarily handle delivering health and social services, while the federal government also provides some services for certain groups.

Funding for publicly funded healthcare comes from general revenue generated through federal, provincial, and territorial taxes like personal and corporate taxes, sales taxes, and payroll levies. Provinces may also charge residents a health premium to help cover healthcare costs, but not paying this premium shouldn’t limit access to necessary health services.

Beyond healthcare services, public health responsibilities, including sanitation, managing infectious diseases, and education, are shared among federal, provincial/territorial, and local or municipal governments. However, these services are typically provided at the provincial/territorial and local levels.

Healthcare in Canada – Canada Health Act Principles

The five Canada Health Act principles provide for:

1. Public Administration: The provincial and territorial plans must be administered and operated on a non profit basis by a public authority accountable to the provincial or territorial government.
2. Comprehensiveness: The provincial and territorial plans must insure all medically necessary services provided by hospitals, medical practitioners and dentists working within a hospital setting.
3. Universality: The provincial and territorial plans must entitle all insured persons to health insurance coverage on uniform terms and conditions.
4. Accessibility: The provincial and territorial plans must provide all insured persons reasonable access to medically necessary hospital and physician services without financial or other barriers.
5. Portability: The provincial and territorial plans must cover all insured persons when they move to another province or territory within Canada and when they travel abroad. The provinces and territories have some limits on coverage for services provided outside Canada, and may require prior approval for non-emergency services delivered outside their jurisdiction.

Healthcare in Canada – Health Indicators and Expenditures

The country provides excellent access to health care and has low rates of health disparities leading to overall favorable health outcomes throughout the whole country.

Health Indicators

• Fertility Rate: 1.5 live births per woman
• Life Expectancy (Female, Male): 85, 81
• Infant Mortality Rate: 3.9 deaths per 1,000 live births
• Child Mortality Rate: 4.8 per 1,000 live births
• Maternal Mortality Rate: 8.3 deaths per 100,000 live births
• Prevalence of Obesity: 26.3%

Racial/Ethnic Demographics

• White NH: 75%
• Asian: 14%
• Native: 5%
• Black NH: 3%
• Hispanic/Latino: 2%
• Other: 1%

Age Structure

• 8 0-14 years: 15.4%
• 15-24 years: 11.6%
• 25-54 years: 39.6%
• 55-64 years: 14.2%
• 65 years and over: 19.1%

FAQs on Healthcare in Canada

Is health care Free in Canada?

The health system is funded mainly by provincial or territorial general tax revenue with some federal transfers and is free at the point of delivery for citizens. There is no cost-sharing for inpatient or outpatient care and prescription drug prices vary but are still inexpensive.

Is Canada good in healthcare?

Canada’s healthcare system has its fair share of both advantages and disadvantages. While the system provides universal coverage and high-quality care, it also faces significant challenges, such as long wait times and rising healthcare costs.

Is health care costly in Canada?

In 2022, overall health expenditure in Canada is predicted to be 331 billion Canadian dollars or 8,563 Canadian dollars per person. It is predicted that health spending will account for 12.2 percent of Canada’s gross domestic product (GDP) in 2022.

Is it cheaper to go to Canada for healthcare?

From 2004 to 2014, Canadian respondents paid US $852–1,767 out-of-pocket for care. The US reported the largest risks of serious problems paying for care (13–18.5%), highest out-of-pocket costs (US $2,060–3,319) and greatest rise in expenditures.

What are the difficulties in living in Canada?

Housing, transportation, and food costs can be expensive. Also the weather in Canada has long and harsh winters, with snow and ice covering much of the country for several months each year. This can be challenging for those who are not accustomed to the cold.