Healthcare in Germany vs. U.S.A
Western Governors University
Organizational Systems and Quality Leadership

Germany’s and the United States’ healthcare systems compare and contrast in many ways. Germany has the third richest economy in the world and many categorize their healthcare system as socialized. Germany provides medical care to all of the citizens—young, poor, old, sick, and injured. Otto von Bismarck the Prussian chancellor in the 1880s in Germany invented the concept of healthcare systems, the notion that a government has to provide mechanisms so all its people can get medical care when they need it. In 1883, the Sickness Insurance Act was passed, representing the first social insurance program. Over the past 130 years the system has grown to the point where virtually all of the population is provided access to medical care. The Germans have what they call “Sickness Funds”, which are paid for by premiums based on income to one of 240 private insurers. A worker earning 60,000 would split a $750 family premium with their employer. It is more expensive than the U.K. but cheaper than the U.S. by about two thirds. It is a system where the rich pay for the poor and the ill are covered by the healthy (Saul, 2014).
The United States healthcare system until recently has been mostly controlled by private industries and insurance companies, although we do have Medicare and Medicaid for the old and poor. Recently the Affordable Healthcare Act has been passed which requires everyone to carry healthcare insurance or be fined. The Affordable Healthcare Act offers U.S. citizens a healthcare insurance plan if they are not already on a plan. Many argue that the rate of the Affordable Healthcare Plan is not very affordable. Although America is trying to become more like Germany and provide healthcare to all citizens, so many are left uninsured and the cost of healthcare