Where does Canada’s health care money come from?

In 2016, about 70% of total health expenditure will come from the public sector

Year Public sector Private sector
1995 71% 29%
2000 70% 30%
2005 70% 30%
2010 71% 29%
2016 (forecasted) 70% 30
Public sector 2016
Provincial and territorial governments 65%
Other public sector 5%
Total public 201
Private sector 2016
Out of pocket 15%
Private insurance 12%
Other 3%
Total private 30

Source: National Health Expenditure Database, Canadian Institute for Health Information.

Highlights

  • Since 1997, the public-sector share of total health expenditure has remained relatively stable at around 70%.
  • It is estimated that private-sector spending will account for 30.2% of total health expenditure in 2016. The private sector was made up of 3 spending categories, the largest of which was out-of-pocket spending (14.6%), followed by private health insurance (12.2%) and non-consumption (3.3%).
  • Services covered under the Canada Health Act, such as hospitals and physicians, are financed mainly by the public sector, while drugs and other professionals are financed primarily from private-sector sources.
  • Out-of-pocket expenditure accounted for 48.4% of private-sector expenditure in 2014, down from 58.1% in 1988.