Neither the NHS nor private health insurance plans run efficiently because neither adequately reflect demand of medical services. In both schemes there is no connection between usage and cost of services to the consumer, creating an over-demand for services. Attempts have been made to curb this problem by private insurers in the use of co-payments or other means of sharing service costs with consumers. This paper contends that independent Medical Savings Accounts, paid into by the employer but under the control of the consumer will sovle this problem by providing resources for care, but creating incentives for patients to use only the services they require.