Federal Healthcare funding in Canada
In Canada, our healthcare system is called Medicare. It is publicly funded through our tax dollars.
The federal government shares responsibility with the provinces and territories that deliver the actual services. The federal government also offers direct services to select groups:
- First Nations people living on reserves
- Serving members of the Canadian Forces
- Eligible veterans
- Inmates in federal penitentiaries
- Some groups of refugee claimants
The details of funding arrangements between the federal government and the provinces and territories are agreed on in a Health Accord. These usually cover several years and are then renegotiated. Health Accords determine how much money the federal government will give the provinces and what strings are attached to this money.
The Canada Health Act
Established in 1985, this act covers the funding contributions by the federal government to the provinces and Territories and what conditions they have around the funding. For a simpler description of the funding arrangement, read this government page.