There has been a lot of misinformation in this thread and so I thought it would be useful to offer a comparison of two healthcare systems and two wage earners; UK versus USA.
Comparsion of US vs UK taxes for healthcare
Some interesting comparative data since some would have you believe the European/Uk wage earner pays a lot more in taxes than the American wage earner.
UK wage earner pays around 33% of salary to tax (which includes health insurance tax).
The benefits of the UK wage earner:
1. Free health care. ~$10 prescription charges.
2. At least 4 weeks holiday per year (usually get 20 -30 business days off per year) with 6 months sick pay if you need it. Usually another 6 months on half-pay (depends on employer but this is true for nurses for example). Extra holidays include the 9 bank holidays a year.
The downside of the UK wage earner:
1. May have to wait for a non-urgent operation. Wait time has improved dramatically in last 5 yrs. Life-saving operations have no wait time (obviously).
The USA wage earner pays around 25-30% tax depending on exemptions. If you pay too much you get it back at the end of the year and if too little you pay more.
The benefits of the USA wage earner:
1. Pays monthly premiums (100s of $s) for health care with $x deductible (someone quoted $3500 here in this thread). If working for an employer the
true cost is not known as the employer is paying for some (?%) of the premium.
2. Co-pay is paid every time visit the doctor. Usually $20 -$25.
3. Vacation time – usually 2 -4 weeks. With ~9 public holidays/year.
4. Immediate access to doctors and surgery. Wait times in ER or to see doctor is same as UK/Euro. i.e. turn up to see doctor at 9am it usually takes
at least 30 min to see him. ER can take longer if non-life threatening condition. 3 -5 hrs is not uncommon.
Downside to the USA wage earner:
1. Coverage can be denied if have pre-existing condition.
2. There are limits on how much healthcare you can receive in terms of insurance $. If you are chronically sick then you better hope you get better before the money runs out.
3. Prescription medicine can be very expensive if you are unlucky to have the wrong condition and if have a high deductible/insurance cap it can become personally very expensive. Painkillers can easily run $300/month.
4. Sick pay? I don’t know how much you get in the US or how long for (is it available?).
5. Profits from health insurance goes to insurance company/shareholders. Incentive to maximize profits – see point 1.
6. If stop working for the same employer you “lose” all your health insurance benefits. Better hope you find another job or don’t get sick before you do.
7. Overall US health care is much more complex than the UK/Euro system.
At the end of the day does the US wage earner have more take home money/benefits than the UK wage earner? The answer is no. (many examples of comparisons but here is one here -
http://en.wikipedia.org/wiki/Standard_of_living_in_the_United_States). It works out about the same adjusted to cost of living in the respective countries.
And does the USA have a better standard of health care than the UK? The answer is no (on a national average) but you can see from the above the answer is both subjective and complicated by many variables. While someone in NYC might enjoy the benefits of having world class research hospitals at their doorstep, the same will not be true for someone living in Harrisburg, Mississippi (a state where the level of child mortality is extremely high –and overall national average is higher than most other industrialized countries).
So overall while the UK does have a single-payer system the cost to the taxpayer may/may not work out the same/cheaper/more than the USA taxpayer depending on the condition you have. At the simplest level: in the UK everyone gets access to free healthcare at any age. In the USA that is not the case. In the USA you are paying twice - once for Medicaid and once for personal insurance.
cheers
Andy