US government reining in healthcare costs

Thu, 08 Mar 2007

America, the home of the free market, is looking to intervene in the pricing and direction of drugs for health . The US Government are looking to rein in the cost of their healthcare, due to strong and growing economic pressure.

The US has a different healthcare and health insurance sector to the UK, which is neatly divided into the National Health Service and private healthcare for those who can afford private medical insurance . In the US, the vast majority of citizens are covered by health insurance offered by employers.

The UK have taken considerable measures to prevent the demanding costs of drugs from crippling the health service, by setting up the National Institute for Health and Clinical Excellence in 1999. NICE serves to decide what drugs are, and are not, employed. The US are expected to implement a new organisation called the CEB – Comparative Effectiveness Board, with the aim of reviewing evidence of how well each drug works, and also how effective they are. A strong reaction is expected from the drug industry.
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