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German Healthcare

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Submitted By biobelle11
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Global Environment of Business
Germany Healthcare Profile
Healthcare in Germany has been relatively constant throughout history. The growth of the healthcare to what it is today can be found from the 19th century. During this time industry and an up growth of population came to Germany and this also was linked to the founding of the German National Union. This this growth of organized labor it began to be apparent that a form of health care needed to be found to keep the health of the workers. The Bismark model was founded shortly after. This model used an insurance program and those that provided the insurance were referred to as “sickness funds.” The money for this program was taken from the payroll. This was a national coverage so the insurance companies did not profit.
In 1883, there was an amendment to the Bismark model. This model was regulated by a man who was known for his military tactics and originally he wanted a national, central office for the healthcare his model was rejected and a more regional program was established to allow smaller pockets of control.
There was final change to the model occurred in three phases through the end of the 19th century and the beginning of the 20th century. This brought the model to be a nonprofit and self-governing. Originally the board was made up of more labor and only a few people from business were on the seat for representation. This transitioned to 1920’s when there was an equal board seats. There was a gap between the years of 1933-1945 due to the Nazi control over Germany. East and West Germany took up different models after 1945. West maintained the labor/business boards and the East had a government run healthcare until the counties were merged and the West model was retained.
This solidary based financing is different from many other insurances. As a contrast the United States uses funding from

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