Hostname: page-component-76fb5796d-2lccl Total loading time: 0 Render date: 2024-04-27T11:06:50.660Z Has data issue: false hasContentIssue false

Evolution of Taiwan’s health care system

Published online by Cambridge University Press:  04 March 2010

Jui-Fen Rachel Lu*
Affiliation:
Department of Health Care Management, College of Management, Chang Gung University, Taiwan
Tung-Liang Chiang
Affiliation:
Institute of Health Policy and Management, College of Public Health, National Taiwan University, Taiwan
*
Correspondence to: Jui-fen Rachel Lu, Department of Health Care Management, College of Management, Chang Gung University, 259 Wen-Hwa 1st Road, Kwei-Shan Tao-Yuan, 33302 Taiwan. Email: rachel@mail.cgu.edu.tw

Abstract

This study aims to present an overview of the evolutionary policy process in reforming the health care system in Taiwan, through dissecting the forces of knowledge, social-cultural context, economic resources and political system. We further identify factors, which had a significant impact on health care reform policies in Taiwan through illustrative policy examples. One of the most illuminating examples highlighted is the design and implementation of a single-payer National Health Insurance (NHI) program in 1995, after nearly five years of planning efforts (1988–1993) and a two-year legislative marathon. The NHI is one of the most popular social programs ever undertaken in the history of Taiwan, which greatly enhances financial protection against unexpected medical expenses and assures access to health services. Nonetheless, health care reform still has an unfinished agenda. Despite high satisfaction ratings, Taiwan’s health care system today is encountering mounting pressure for new reforms as a result of its rapidly aging population, economic stagnation, and imbalanced NHI checkbook. Although there may exist some heterogeneous system characteristics and challenges among different health care systems around the world, Taiwan’s experiences in reforming its health care system for the past few decades may provide valuable lessons for countries going through rapid economic and political transition.

Type
Articles
Copyright
Copyright © Cambridge University Press 2010

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Anderson, J. E. (1994), Public Policymaking: An Introduction, 2nd edition, Boston, Massachusetts: Houghton Mifflin Company.Google Scholar
Bodenheimer, T. S. (1989), ‘Payment mechanisms under a national health program’, Medical Care Research and Review, 46(1): 343.Google Scholar
Bureau of National Health Insurance (2008), National Health Insurance Statistics 2006, Taipei: Bureau of National Health Insurance, R.O.C. (Taiwan).Google Scholar
Cheng, T. M. (2003), ‘Taiwan’s new National Health Insurance program: genesis and experience so far’, Health Affairs, 22(3): 6177.Google Scholar
Chiang, T. L., Yaung, C. L.Lew-Ting, C. Y. (1991), ‘The impact of group practice centers on access to health care’, Taiwan Journal of Public Health, 10: 260268 (in Chinese).Google Scholar
Chiang, T. L. (1995a), ‘Physician manpower policy in Taiwan, 1945–1994’, Taiwan Journal of Public Health, 14: 383391 (in Chinese).Google Scholar
Chiang, T. L. (1995b), ‘Deviation from the carrying capacity for physicians and growth rate of physician supply: the Taiwan case’, Social Science and Medicine, 40: 371377.Google Scholar
Chiang, T. L. (1997), ‘Taiwan’s 1995 health care reform’, Health Policy, 39: 225239.Google Scholar
Chiang, T. L. (2003), Health Care Policy in Taiwan, 2nd edition. Taipei: Yuan-Liu Publisher (in Chinese).Google Scholar
Chiang, T. L. (2005), ‘Taiwan’, Chapter 4, in R. Gauld (ed.), Comparative Health Policy in the Asia-Pacific, Berkshire, England: Open University Press.Google Scholar
Council for Economic Planning and Development (1986a), An Integrated Planning Report on Social Welfare in Taiwan, Taipei: Council for Economic Planning and Development, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Council for Economic Planning and Development (1986b), Long-term Economic Perspectives in Taiwan, 1986–2001, Taipei: Council for Economic Planning and Development, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Council for Economic Planning and Development (1990), The Report of National Health Insurance Plan (the CEPD Report), Taipei: Council for Economic Planning and Development, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Council for Economic Planning and Development (2007), Taiwan Statistical Data Book 2007, Taipei: Council for Economic Planning and Development, Executive Yuan, R.O.C. (Taiwan).Google Scholar
Department of Health (1986), Health Planning – Medical Care Network Program, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Department of Health (1990), Health Planning – Medical Care Network Phase II Program, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Department of Health (1993), Health Planning – the Amendment to Medical Care Network Phase II Program, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Department of Health (1996), The First Year Evaluation Report on the National Health Insurance, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Department of Health (2007), Health and Vital Statistics, Vol. 1 General Health Statistics, 2006, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Department of Health (2008), National Health Expenditure 2006, Taipei: Department of Health, Executive Yuan, R.O.C. (Taiwan) (in Chinese).Google Scholar
Evans, R. G. (1983), ‘Health care in Canada: patterns of funding and regulation’, Journal of Health Politics, Policy and Law, 8(1): 143.Google Scholar
Glaser, W. A. (1984), ‘Juggling multiple payers: American problems and foreign solutions’, Inquiry, 21(2): 178188.Google Scholar
Gold, T. B. (1986), State and Society in the Taiwan Miracle, Armonk, New York: M.E. Sharpe.Google Scholar
Hill, M.Bramley, G. (1986), Analyzing Social Policy, Oxford: Basil Blackwell Inc.Google Scholar
Himmelstein, D. U.Woolhandler, S. (1986), ‘Cost without benefit. Administrative waste in US health care’, The New England Journal of Medicine, 314(7): 441445.Google Scholar
Hsiao, W. C., Yaung, C. L.Lu, J. R. (1990), ‘Health care financing and delivery in the ROC: current conditions and future challenges’, Industry of Free China, 73(2): 1338.Google Scholar
Hsiao, W. C., Lu, J. R. (1995), ‘The political economy of health care reform: The case of Taiwan’, mimeo, Harvard University.Google Scholar
Hsu, T. C. (1965), ‘Ten year health plan for Taiwan’, Journal of the Formosan Medical Association, 64: 183211.Google Scholar
Iglehart, J. K. (1990), ‘Canada’s health care system faces its problems’, The New England Journal of Medicine, 322(8): 562568.Google Scholar
Kuo, S. W. Y., Ranis, G.Fei, J. C. H. (1981), The Taiwan success story: rapid growth with improved distribution in the Republic of China, 1952–1979, Boulder, CO: Westerview.Google Scholar
Lin, J. G. (2004), History of Chinese medicine in Taiwan, Taipei: The National Union of Chinese Medical Associations (in Chinese).Google Scholar
Lin, L. D. (1980), ‘An overview of health care manpower supply in Taiwan’, in the Education Planning Task Force, The Conference Proceedings of Education for Health Care Manpower, Taipei: The Ministry of Education, R.O.C. (Taiwan) (in Chinese).Google Scholar
Lindblom, C. (1980), The Policy-making Process, 2nd edition, Englewood Cliffs, New Jersey: Prentice-Hall, Inc.Google Scholar
Lu, J. R.Hsieh, C. R. (2000), Health Economics, Taipei: Pro-Ed Publishing Co (in Chinese).Google Scholar
Lu, J. R.Hsiao, W. C. (2003), ‘Does universal insurance make health care unaffordable? Lessons from Taiwan’, Health Affairs, 22(3): 7788.Google Scholar
Lu, J. R.Hsieh, C. R. (2003), ‘An analysis of the market structure and development of Taiwan’s hospital industry’, Taiwan Economic Review, 31(1): 107153 (in Chinese).Google Scholar
Lu, J. R. (2007), ‘SHA-based health accounts in the Asia-Pacific region: Chinese Taipei 1998’, The Joint OECD/Korea RCHSP SHA Technical Paper series.Google Scholar
National Health Insurance Review Committee (2001), National Health Insurance Assessment Report, Taipei: NHRI (in Chinese).Google Scholar
Reinhardt, U. E. (1981), ‘Health insurance and health policy in the Federal Republic of Germany’, Health Care Financing Review, 3(2): 114.Google Scholar
Tsai, W. H.Chang, L. Y. (1985), ‘Politics, ideology and social welfare program: a critical evaluation of social welfare legislation in Taiwan’, National Taiwan University Journal of Sociology, 17: 233262 (in Chinese).Google Scholar
Van Doorslaer, E., O’Donnell, O., Rannan-Eliya, R. P., Somanathan, A., Adhikari, S. R., Garg, C. C., Harbianto, D., Herrin, A. N., Huq, M. N., Ibragimova, S., Karan, A., Lee, T. J., Leung, G. M., Lu, J. R., Ng, C. W., Pande, B. R., Racelis, R., Tao, S., Tin, K., Tisayaticom, K., Trisnantoro, L., Visasvid, C.Zhao, Y. (2007), ‘Catastrophic payment for health care in Asia’, Health Economics, 16(11): 11591184.Google Scholar
Whitney, R. (1988), ‘National Health Crisis: A Modern Solution’, London: Shepheard-Walwyn.Google Scholar
Winckler, E. A. (1984), ‘Institution and participation on Taiwan: from hard to soft authoritarianism?’, China Quarterly, 99: 481499.Google Scholar
Wong, J. (2003), ‘Resisting reform: the politics of health care in democratizing Taiwan’, American Asian Review, 21(2): 5790.Google Scholar
Wong, J. (2004), Healthy Democracies: Welfare Politics in Taiwan and South Korea, Ithaca, New York: Cornell University Press.Google Scholar
Wu, G. F. (1980), The 33 Years History of the Taiwan Medical Association, Taipei: The Taiwan Medical Association (in Chinese).Google Scholar