WALMART'S HEALTH INSURANCE PLAN

Walmart's Health Insurance Plan

Table of Contents

Introduction3

Discussion3

Vision of Wallmart's new Health insurance Plan4

Wall Mart Health insurance Problems4

Financing Health Care: Insurance as a Funding Mechanism5

Organizational Health Insurance by Walmart6

Secondary Features Of Walmart's Health Insurance Plan7

Benefit Package8

Patient Cost Sharing8

High-Deductible Health Plans9

Effects on Medicare, Medicaid, and Private Insurance10

Cost Containment10

Conclusion11

References12

Walmart's Health Insurance Plan

Introduction

The concept of national health insurance rests on the belief that everyone should contribute to finance health care and everyone should benefit. People who pay more than they benefit are likely to benefit more than they pay years down the road when they face an expensive health problem. Health care in the United States is a 2 trillion dollar business, and those dollars represent income or profits for health plans, hospitals, nursing homes, pharmaceutical manufacturers, physicians, and other health caregivers. At the same time, these billions represent costs for powerful business interests that pay a portion of their employees' health insurance. Every stakeholder in the health care economy has a keen interest in preserving or bettering their financial position. Even though 59% of US citizens polled in 2007 were willing to pay higher taxes to support universal health insurance, the history of the failed efforts at enacting national health insurance in the United States indicates that powerful interest groups are a major impediment to enacting comprehensive health care reform.

Due to the importance of Healthcare of Walmart's employees, this paper provides a basic outline of health insurance for the employees of Walmart. This paper also discusses creation and implementation of a revised health insurance package to replace a current package, which is not working of the strategy into the Walmart.

Discussion

Insurance is a legal contract that is specific regarding how much will be paid, to which providers, and under what conditions; the evidence of loss required; and who will arbitrate disputes. Health insurance is not based on sickness at all, but rather on incurring an expense for medical treatment. Most people will never see the complete contract drawn up by their employer and the insurance company; they will only see informational pamphlets, hear descriptions during new employee orientation, and so on (Thorpe, 2005).

Vision of Wallmart's new Health insurance Plan

The new health insuarance plan is directed towards the betterment of the people providing insurance, which generates net benefits by allowing trade between two possible states of the world. In the normal case, i.e. when the person is healthy and has no complains of illness, the amount given is less in amount. However, in case of uncertainities or mishaps, a larger amount is provided to people to aid them in recovery.

Insurance is basically a method of pooling risk so that one person's loss is shared across many people rather than being borne by a person alone. If all people contribute, the pool of collected funds is sufficient to compensate a few unlucky people who had to face an uncertainity. The new health insurance plan has brought peace of mind for the employees as they are certain that they can obtain necessary medical ...