An analysis of the supplementary health sector in Brazil

This paper addresses the efficiency of the Brazilian supplementary health sector. Analysis is carried out on the distribution of income in Brazil and the supplementary health sector in terms of geographical distribution of the users, operators and user health plans. Data envelopment analysis was used to assess the financial efficiency of companies operating in the sector. The results reveal inefficient financial performance of operators. The paper argues that a minimum level of service provided by the public health system is not achieved. The evidence reveals a major discrepancy between the government's neoliberal concept for the sector and the focus of the operators. The coverage which is incompatible with income distribution in Brazil and the low level of public investment per person result in the creation of companies which are not focused on the real purpose of the supplementary health system.