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Abt Associates Inc.
In collaboration with:
Avenir Health | Broad Branch Associates | Development Alternatives Inc. (DAI) | Johns Hopkins Bloomberg School of Public Health (JHSPH) |
Results for Development Institute (R4D) | RTI International | Training Resources Group, Inc. (TRG)
UHC and Health Financing
Understanding
Universal Health Coverage
February 2017
Dr. Gafar Alawode
Understanding UHC and HCF
What is Universal Health Coverage (UHC)?
Arguing for UHC - Why are we aiming for UHC?
What is the link between HealthCare Financing (HCF)
and UHC?
How do we make progress?
2
What is UHC?
UHC is a goal (aspirational)
All people have access to effective and high-quality health
services, without experiencing financial hardship
 Universal: All people regardless of race, gender, social status
 Health services: curative, health promotion, prevention,
rehabilitation, and palliative
 Quality: sufficient quality to be effective
 Financial hardship: lowering out of pocket costs and the risk of
catastrophic health expenditure
3
Dimensions of Coverage
4
UHC Related Historical Trend
 1948: Universal declaration of human rights
 Article 25 states states that everyone has the right to a standard of living adequate for health,
including medical care, and the right to security in the event of sickness or disability
 1977: Health for all by the year 2000
 The World Health Assembly decided on target health for all by the 2000 for governments and WHO
 2012: United Nations General Assembly adopt a resolution calling for countries to
toe the path of UHC
 2014: Presidential Summit on UHC in Nigeria
 The summit recommends ……..
 2016: UHC became a global development agenda target - target 8 of SDG 3
 2017: President Buhari launched PHC Revitalization for UHC initiative
5
UHC and SDGs
Goal 3: Ensure healthy lives and promote wellbeing for all
at all ages
 Target 3.8: Achieve UHC
6
Health Goal is Not in Isolation
7
UHC also supports achievement of other SDGs
Arguing for UHC - why UHC?
 Advancing a multi-dimensional case for UHC
 The health case for UHC - Health is an end itself
 The economic case for UHC
 The social case for UHC
 The political case for UHC
8
The Health Case for UHC I
9
The Health Case for UHC II
Poor health outcomes:
 Low progress in U5 and maternal deaths reduction
 Health related MDGs not met
Suboptimal service coverage level
 Less than a quarter SBA in some geopolitical zones
Inequity in access to basic health services
 SBA is 10 times higher among the highest income group
 Children from lowest income group are 3 times more likely to die
before their fifth birthday
Epidemiological transition
 Double disease burden and its implications
 Chronic diseases are more expensive to manage 10
The Economic Case for UHC
 Poverty reduction
 Reduced incidence of catastrophic
expenditure
 Improved productivity
 Economic growth
 24% of the growth in full income in
LMICs between 2000 and 2011
resulted from health improvements
 One year of added life expectancy
increases GDP by 4%
 Employment creation
 Health sector is large employer of
labor – NHS example
 Improved service affordability means
increase service production
11
26,508
15,492
$86.9
$50.8
0
20
40
60
80
100
0
5,000
10,000
15,000
20,000
25,000
30,000
Uninsured Insured
Annual per capita household OOP healthcare spending
by Insurance Status
HH OOP per capital (NGN) HH per capital OOP (US$ @ N305/$)
The Social Case for UHC – Social
Protection in Health
 Protection from health risk
 Epidemiologic surveillance
 Health promotion
 Disease prevention
 Regulation on food and drugs
 Patient protection
 Availability and quality of care
 Safety
 Effectiveness
 Responsiveness
 Financial protection
 Protection from catastrophic health expenditure 12
The political case for UHC
13
Measuring UHC: It is a challenge!
 WHO and World Bank UHC
Measurement Framework (2014)
 Population coverage with equity
 Disaggregate population coverage by
gender, wealth quintile, place of residence
 Health service coverage
 Antenatal care (% pregnant women)
 Skilled birth attendance (% pregnant
women)
 Immunization (% children)
 Financial protection
 Households experiencing catastrophic
health expenditure (%)
 Households pushed into poverty (%) 14
Health Financing and UHC Goals
15
More Money for Health and More Health for
the Money
16
0
20
40
60
80
100
120
140
160
180
200
0 50 100 150 200 250 300 350 400 450 500
U
5
M
R
Total Health Expenditure/Capita ($)
Total Health Expenditure/Capita vs U5MR
<5MR
Can Nigeria Govt. Afford UHC?
17
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
Nigeria Ghana Uganda Liberia
USD
Axis Title
Capacity for Improved Public Expenditure on Health
Highest possible spending per capita
Actual govt. expenditure/capita
UHC benchmark
We Need to Mobilize More Funds Beyond
Earmarking
18
0
5
10
15
20
25
30
Akwa Ibom CRS Rivers Lagos
%oftargetedpopulation
States
Fiscal Space from Different Earmarked Funds Scenarios
BHCPF Only
BHCPF + 1% State CRF
BHCPF + 2% State CRF
We Need Synergy Among Financing
Mechanisms
Synergy among mix of coverage mechanisms
19
Mix of
Coverage
Mechanisms
Financing UHC - The Key Ingredients
No single UHC recipe but four key ingredients:
1. Promote equitable access by removing financial barriers,
especially direct payments;
2. Prepayment must be compulsory
 Access to care based on needs, payment based on ability
3. Large risk pools are essential
4. Governments need to cover the health costs of people
who can not afford to contribute.
20
Moving Towards UHC - The Key Steps I
Garner political support for UHC
 The starting point is political consensus and not technical design
Diagnosis
 Fiscal space analysis, governance/political economy assessment,
PFM assessment, resource tracking
Technical design
 Trajectory of coverage expansion
 Appropriate mix of financing mechanisms with synergy
 Health system strengthening plan
Institutional, policy and legal framework
Intersectoral collaboration, sectoral coordination, citizen
participation and accountability mechanism 21
Voice of Wisdom and Hope
“Women are not dying of disease we cannot treat …..they are dying because
societies have yet to make the decision that their lives are worth saving”
- Mahmoud Fathalla
“The starting point in the journey of Universal Health Coverage is not technical but
social and ethical consensus that health is human right”
Julio Frenk
“I am hopeful that our women will no more be dying during childbirth; our children
will no more be dying as a result of vaccine preventable diseases or common
ailment;
- President Muhammadu Buhari
22
access to health care will not be limited because of not having money to pay.”
Abt Associates Inc.
In collaboration with:
Avenir Health | Broad Branch Associates | Development Alternatives Inc. (DAI) | Johns Hopkins Bloomberg School of Public Health (JHSPH) |
Results for Development Institute (R4D) | RTI International | Training Resources Group, Inc. (TRG)
Thank you
www.hfgproject.org

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Understanding the concept of Universal Health Coverage: UHC and Health Financing

  • 1. Abt Associates Inc. In collaboration with: Avenir Health | Broad Branch Associates | Development Alternatives Inc. (DAI) | Johns Hopkins Bloomberg School of Public Health (JHSPH) | Results for Development Institute (R4D) | RTI International | Training Resources Group, Inc. (TRG) UHC and Health Financing Understanding Universal Health Coverage February 2017 Dr. Gafar Alawode
  • 2. Understanding UHC and HCF What is Universal Health Coverage (UHC)? Arguing for UHC - Why are we aiming for UHC? What is the link between HealthCare Financing (HCF) and UHC? How do we make progress? 2
  • 3. What is UHC? UHC is a goal (aspirational) All people have access to effective and high-quality health services, without experiencing financial hardship  Universal: All people regardless of race, gender, social status  Health services: curative, health promotion, prevention, rehabilitation, and palliative  Quality: sufficient quality to be effective  Financial hardship: lowering out of pocket costs and the risk of catastrophic health expenditure 3
  • 5. UHC Related Historical Trend  1948: Universal declaration of human rights  Article 25 states states that everyone has the right to a standard of living adequate for health, including medical care, and the right to security in the event of sickness or disability  1977: Health for all by the year 2000  The World Health Assembly decided on target health for all by the 2000 for governments and WHO  2012: United Nations General Assembly adopt a resolution calling for countries to toe the path of UHC  2014: Presidential Summit on UHC in Nigeria  The summit recommends ……..  2016: UHC became a global development agenda target - target 8 of SDG 3  2017: President Buhari launched PHC Revitalization for UHC initiative 5
  • 6. UHC and SDGs Goal 3: Ensure healthy lives and promote wellbeing for all at all ages  Target 3.8: Achieve UHC 6
  • 7. Health Goal is Not in Isolation 7 UHC also supports achievement of other SDGs
  • 8. Arguing for UHC - why UHC?  Advancing a multi-dimensional case for UHC  The health case for UHC - Health is an end itself  The economic case for UHC  The social case for UHC  The political case for UHC 8
  • 9. The Health Case for UHC I 9
  • 10. The Health Case for UHC II Poor health outcomes:  Low progress in U5 and maternal deaths reduction  Health related MDGs not met Suboptimal service coverage level  Less than a quarter SBA in some geopolitical zones Inequity in access to basic health services  SBA is 10 times higher among the highest income group  Children from lowest income group are 3 times more likely to die before their fifth birthday Epidemiological transition  Double disease burden and its implications  Chronic diseases are more expensive to manage 10
  • 11. The Economic Case for UHC  Poverty reduction  Reduced incidence of catastrophic expenditure  Improved productivity  Economic growth  24% of the growth in full income in LMICs between 2000 and 2011 resulted from health improvements  One year of added life expectancy increases GDP by 4%  Employment creation  Health sector is large employer of labor – NHS example  Improved service affordability means increase service production 11 26,508 15,492 $86.9 $50.8 0 20 40 60 80 100 0 5,000 10,000 15,000 20,000 25,000 30,000 Uninsured Insured Annual per capita household OOP healthcare spending by Insurance Status HH OOP per capital (NGN) HH per capital OOP (US$ @ N305/$)
  • 12. The Social Case for UHC – Social Protection in Health  Protection from health risk  Epidemiologic surveillance  Health promotion  Disease prevention  Regulation on food and drugs  Patient protection  Availability and quality of care  Safety  Effectiveness  Responsiveness  Financial protection  Protection from catastrophic health expenditure 12
  • 13. The political case for UHC 13
  • 14. Measuring UHC: It is a challenge!  WHO and World Bank UHC Measurement Framework (2014)  Population coverage with equity  Disaggregate population coverage by gender, wealth quintile, place of residence  Health service coverage  Antenatal care (% pregnant women)  Skilled birth attendance (% pregnant women)  Immunization (% children)  Financial protection  Households experiencing catastrophic health expenditure (%)  Households pushed into poverty (%) 14
  • 15. Health Financing and UHC Goals 15
  • 16. More Money for Health and More Health for the Money 16 0 20 40 60 80 100 120 140 160 180 200 0 50 100 150 200 250 300 350 400 450 500 U 5 M R Total Health Expenditure/Capita ($) Total Health Expenditure/Capita vs U5MR <5MR
  • 17. Can Nigeria Govt. Afford UHC? 17 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0 Nigeria Ghana Uganda Liberia USD Axis Title Capacity for Improved Public Expenditure on Health Highest possible spending per capita Actual govt. expenditure/capita UHC benchmark
  • 18. We Need to Mobilize More Funds Beyond Earmarking 18 0 5 10 15 20 25 30 Akwa Ibom CRS Rivers Lagos %oftargetedpopulation States Fiscal Space from Different Earmarked Funds Scenarios BHCPF Only BHCPF + 1% State CRF BHCPF + 2% State CRF
  • 19. We Need Synergy Among Financing Mechanisms Synergy among mix of coverage mechanisms 19 Mix of Coverage Mechanisms
  • 20. Financing UHC - The Key Ingredients No single UHC recipe but four key ingredients: 1. Promote equitable access by removing financial barriers, especially direct payments; 2. Prepayment must be compulsory  Access to care based on needs, payment based on ability 3. Large risk pools are essential 4. Governments need to cover the health costs of people who can not afford to contribute. 20
  • 21. Moving Towards UHC - The Key Steps I Garner political support for UHC  The starting point is political consensus and not technical design Diagnosis  Fiscal space analysis, governance/political economy assessment, PFM assessment, resource tracking Technical design  Trajectory of coverage expansion  Appropriate mix of financing mechanisms with synergy  Health system strengthening plan Institutional, policy and legal framework Intersectoral collaboration, sectoral coordination, citizen participation and accountability mechanism 21
  • 22. Voice of Wisdom and Hope “Women are not dying of disease we cannot treat …..they are dying because societies have yet to make the decision that their lives are worth saving” - Mahmoud Fathalla “The starting point in the journey of Universal Health Coverage is not technical but social and ethical consensus that health is human right” Julio Frenk “I am hopeful that our women will no more be dying during childbirth; our children will no more be dying as a result of vaccine preventable diseases or common ailment; - President Muhammadu Buhari 22 access to health care will not be limited because of not having money to pay.”
  • 23. Abt Associates Inc. In collaboration with: Avenir Health | Broad Branch Associates | Development Alternatives Inc. (DAI) | Johns Hopkins Bloomberg School of Public Health (JHSPH) | Results for Development Institute (R4D) | RTI International | Training Resources Group, Inc. (TRG) Thank you www.hfgproject.org