It's time someone explained to you the concept of overhead.
Overhead is the money that doesn't go to paying for medical services. It's what is sucked up by the army of clerks working for insurance companies. It's the money spent entering forms, talking on the phone with doctors and explaining why they can't treat their patient. It's the money spent on advertising and lobbying Congress to keep the system exactly the way it is. And it's the money used to pay high salaries to insurance company executives.
Insurance company paperwork also creates high overhead in the medical profession. Next time you visit a doctor, try counting the number of people in that office that are shuffling paper. Preparing the complicated forms demanded by the insurance companies. Or trying to contact insurers for permission to treat a patient.
Compare that to the system in Canada, where most physicians have one assistant that greats patients, does the filing, sets up appointments and sends the bills to the single insurance provider. The money is spent on providing medical services, not creative paperwork.
That is part of the problem. Medicare/Medicaid is understaffed and inefficient at what they do. They fail to help people that should be getting help because it is big government buracracy, whereas the individul doctor's assistant is only dealing with a smaller group. It is more efficient.