In the United States, health care financing is a vital aspect of the functioning of health care delivery systems. The distribution of national health spending involves several sources of financing, including an important component known as health insurance. The distribution of citizens with health insurance coverage has increased steadily over the years, yet millions of people still remain uninsured. The establishment of the Patient Protection and Affordable Care Act expanded health coverage to millions of Americans, making it more accessible and affordable while decreasing the number of uninsured people. A vital aspect of health insurance is employment-based health insurance, which is labeled an accident in history and remains a cornerstone of the US healthcare system (Blumenthal, 2006). In addition to employer-based health insurance, two other health plans represent important aspects of U.S. health care. These include fully insured health plans and self-insured health plans. All of these components impact healthcare finance. The United States has the most expensive healthcare system in the world, with the highest healthcare spending per capita compared to other nations (Bodenheimer, 2005). The distribution of national health spending involves five major sources of financing, including: out-of-pocket spending, health insurance, other third-party funders and programs, public health activities, and investments (National, 2012). According to the 2009 census, out-of-pocket expenses were $299.3 billion. Spending on health insurance was $1,767.4 billion. For the source of funds from taxpayers and third-party programs, expenditures were $186.1 billion. Public health expenditures were $77.2 billion, and investments such as… insured health plans can offer organizations improved cash flow, tax benefits, a greater degree of flexibility, and reduced administrative costs (Understanding, 2012). The article (2012) states that the employer is also able to set premium rates based on claims history, as well as adapt the plan in other ways to reduce costs. The United States has the most healthcare expenditures in the world, with the majority of funding coming from health insurance. The number of uninsured people decreased with the introduction of the Patient Protection and Affordable Care Act. The PPACA made health care more affordable and accessible to millions of Americans, including low-income ones. Different health plans allow people to choose the best plan. Funding is vital for delivery systems to continually improve and advance healthcare in the United States.