Colombo F, Tapay N: Private health insurance in OECD countries: benefits and costs for individuals and health systems. Towards effective health systems: OECD working paper No. 15. DELSA/ELSA/WD/HEA (2004)6. The extent of the pros and cons of VHI depends on its specific type. Each of the four species mentioned above has potential positive effects (particularly the reduction in OOP expenditure) and negative effects on the evolution towards the UHC, through specific effects on access, equity and efficiency from the point of view of the health system. If advances from mandatory sources are minimal, VHI may be preferable to OOP spending as a form of down payment and limited pooling, as it may extend financial protection and access to additional services . VHI also advocated for a potential increase in money in the health care system and cross-subsidies at the supplier level and an improvement in the use of new technologies [5, 6, 9, 15]. However, due to the selection of negative risks, VHI may suffer from a number of market failures, resulting in a spiral of rising premiums, which further improves negative choice, which can make VHI unaffordable and create market instability. HIV can make a significant contribution to the fragmentation and balance of risks in public health insurance, with a higher proportion of sick patients.
It creates barriers to the redistribution of financial resources to the poor or sick, thereby increasing unequal access if it is not properly regulated. VHI can also lead to increased use of unnecessary health care due to moral hazard and supplier-induced demand, which can be a particular problem for additional and complementary HIV.s DOH, Philhealth: Health Care Funding Strategy in the Philippines 2010-2020. The path to a social security working paper model. Manila: DOH and Philhealth 2009. VHI registration is generally limited to people under 65. Coverage is most often offered as a short-term (annual) contract and insurers are generally free to refuse claims, exclude or charge higher premiums for existing conditions, charge premiums based on individual health risk, set benefit limits, and impose time limits1 and user fees. Dependents almost always have to be covered separately for an additional fee.