Health Administration — Organization of the Canadian Health Care System
AU HADM 339 – HEALTH ADMINISTRATION EXAM QUESTIONS AND
CORRECT ANSWERS | COMPREHENSIVE HEALTHCARE MANAGEMENT
2026/2027
AU HADM 339 Health Administration
1. Which province introduced the first universal, publicly funded
hospital insurance plan in Canada in 1947?
A. British Columbia
B. Saskatchewan
C. Manitoba
D. Ontario
Answer: B. Saskatchewan
Saskatchewan's Hospital Services Plan began on January 1, 1947, under
the CCF government.
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, Health Administration — Organization of the Canadian Health Care System
2. The premier most closely associated with launching publicly funded
hospital and medical insurance in Saskatchewan was:
A. John Diefenbaker
B. Lester B. Pearson
C. Tommy Douglas
D. Woodrow Lloyd
Answer: C. Tommy Douglas
Douglas led the CCF government that introduced hospital insurance and
championed medical care insurance.
3. Before public hospital insurance, many rural Saskatchewan
municipalities hired salaried physicians under which arrangement?
A. Workers' compensation panels
B. Municipal doctor plans
C. Health maintenance organizations
D. Friendly society contracts
Answer: B. Municipal doctor plans
Municipal doctor plans paid physicians a retainer to serve rural
residents, an early form of public payment.
4. The Swift Current Health Region of 1946 is historically significant
because it:
A. Introduced the first user fees for physician visits
B. Was the first private hospital chain in Canada
C. Provided a regional, publicly funded medical care program that
served as a model for medicare
D. Created the first federal hospital in Western Canada
Answer: C. Provided a regional, publicly funded medical care
program that served as a model for medicare
Swift Current offered tax-funded physician services regionally and
demonstrated that public medical insurance could work.
Page 2 of 68
, Health Administration — Organization of the Canadian Health Care System
5. Saskatchewan's 1962 Medical Care Insurance Act led directly to
which event?
A. The repeal of hospital insurance
B. The creation of Health Canada
C. A national referendum on medicare
D. A 23-day physicians' strike
Answer: D. A 23-day physicians' strike
Saskatchewan doctors withdrew services in July 1962 in opposition to
the government-run medical insurance plan.
6. The Saskatoon Agreement of 1962 resolved the doctors' strike
largely by allowing physicians to:
A. Refuse all government payment
B. Remain on fee-for-service and opt out of billing the plan directly
C. Become salaried provincial employees
D. Charge unlimited user fees to hospital patients
Answer: B. Remain on fee-for-service and opt out of billing the plan
directly
The settlement preserved fee-for-service and professional autonomy
while keeping public insurance in place.
7. Early charitable and religious institutions were important in
Canadian health care mainly because they:
A. Administered federal transfer payments
B. Founded and operated many of the first hospitals
C. Set physician fee schedules
D. Licensed nurses nationally
Answer: B. Founded and operated many of the first hospitals
Religious orders such as the Grey Nuns established and ran many early
hospitals across Canada.
Page 3 of 68
, Health Administration — Organization of the Canadian Health Care System
8. The 1919 Liberal Party platform is often cited in medicare history
because it:
A. Promised a national health insurance program that was not
implemented for decades
B. Introduced the Canada Health Act
C. Banned private hospitals
D. Created the Department of National Health and Welfare
Answer: A. Promised a national health insurance program that was
not implemented for decades
Mackenzie King's 1919 platform proposed health insurance, but
implementation waited until after the Second World War.
9. The Heagerty Committee report of the early 1940s is significant
because it:
A. Established the first nursing school in Canada
B. Ended federal involvement in hospital funding
C. Recommended privatizing all hospitals
D. Proposed a national health insurance plan with federal-provincial
cost sharing
Answer: D. Proposed a national health insurance plan with federal-
provincial cost sharing
The Advisory Committee on Health Insurance drafted a national plan
that later shaped postwar proposals.
10. The National Health Grants Program of 1948 provided federal
funding primarily for:
A. Prescription drug coverage
B. Hospital construction and public health activities
C. Long-term care beds only
D. Physician salaries
Answer: B. Hospital construction and public health activities
The 1948 grants supported hospital construction, public health, and
related services before national insurance existed.
Page 4 of 68
AU HADM 339 – HEALTH ADMINISTRATION EXAM QUESTIONS AND
CORRECT ANSWERS | COMPREHENSIVE HEALTHCARE MANAGEMENT
2026/2027
AU HADM 339 Health Administration
1. Which province introduced the first universal, publicly funded
hospital insurance plan in Canada in 1947?
A. British Columbia
B. Saskatchewan
C. Manitoba
D. Ontario
Answer: B. Saskatchewan
Saskatchewan's Hospital Services Plan began on January 1, 1947, under
the CCF government.
Page 1 of 68
, Health Administration — Organization of the Canadian Health Care System
2. The premier most closely associated with launching publicly funded
hospital and medical insurance in Saskatchewan was:
A. John Diefenbaker
B. Lester B. Pearson
C. Tommy Douglas
D. Woodrow Lloyd
Answer: C. Tommy Douglas
Douglas led the CCF government that introduced hospital insurance and
championed medical care insurance.
3. Before public hospital insurance, many rural Saskatchewan
municipalities hired salaried physicians under which arrangement?
A. Workers' compensation panels
B. Municipal doctor plans
C. Health maintenance organizations
D. Friendly society contracts
Answer: B. Municipal doctor plans
Municipal doctor plans paid physicians a retainer to serve rural
residents, an early form of public payment.
4. The Swift Current Health Region of 1946 is historically significant
because it:
A. Introduced the first user fees for physician visits
B. Was the first private hospital chain in Canada
C. Provided a regional, publicly funded medical care program that
served as a model for medicare
D. Created the first federal hospital in Western Canada
Answer: C. Provided a regional, publicly funded medical care
program that served as a model for medicare
Swift Current offered tax-funded physician services regionally and
demonstrated that public medical insurance could work.
Page 2 of 68
, Health Administration — Organization of the Canadian Health Care System
5. Saskatchewan's 1962 Medical Care Insurance Act led directly to
which event?
A. The repeal of hospital insurance
B. The creation of Health Canada
C. A national referendum on medicare
D. A 23-day physicians' strike
Answer: D. A 23-day physicians' strike
Saskatchewan doctors withdrew services in July 1962 in opposition to
the government-run medical insurance plan.
6. The Saskatoon Agreement of 1962 resolved the doctors' strike
largely by allowing physicians to:
A. Refuse all government payment
B. Remain on fee-for-service and opt out of billing the plan directly
C. Become salaried provincial employees
D. Charge unlimited user fees to hospital patients
Answer: B. Remain on fee-for-service and opt out of billing the plan
directly
The settlement preserved fee-for-service and professional autonomy
while keeping public insurance in place.
7. Early charitable and religious institutions were important in
Canadian health care mainly because they:
A. Administered federal transfer payments
B. Founded and operated many of the first hospitals
C. Set physician fee schedules
D. Licensed nurses nationally
Answer: B. Founded and operated many of the first hospitals
Religious orders such as the Grey Nuns established and ran many early
hospitals across Canada.
Page 3 of 68
, Health Administration — Organization of the Canadian Health Care System
8. The 1919 Liberal Party platform is often cited in medicare history
because it:
A. Promised a national health insurance program that was not
implemented for decades
B. Introduced the Canada Health Act
C. Banned private hospitals
D. Created the Department of National Health and Welfare
Answer: A. Promised a national health insurance program that was
not implemented for decades
Mackenzie King's 1919 platform proposed health insurance, but
implementation waited until after the Second World War.
9. The Heagerty Committee report of the early 1940s is significant
because it:
A. Established the first nursing school in Canada
B. Ended federal involvement in hospital funding
C. Recommended privatizing all hospitals
D. Proposed a national health insurance plan with federal-provincial
cost sharing
Answer: D. Proposed a national health insurance plan with federal-
provincial cost sharing
The Advisory Committee on Health Insurance drafted a national plan
that later shaped postwar proposals.
10. The National Health Grants Program of 1948 provided federal
funding primarily for:
A. Prescription drug coverage
B. Hospital construction and public health activities
C. Long-term care beds only
D. Physician salaries
Answer: B. Hospital construction and public health activities
The 1948 grants supported hospital construction, public health, and
related services before national insurance existed.
Page 4 of 68
