The problem with healthcare is how its funded, primary by the government or employers. Consumers don't control their health care costs, so the system is dysfuncation. What you call fradmentation is really the market. We need more, not less, market based health care. And we need consumers paying for it, not disinterested third parties.

Of course, none of can anticipate the crises in our lives when we need health care immediatedly. That is what health insurance is for, just like car and homeowners insurance. If employers or the government wants to fund healthcare, they should fund medical savings accounts so individuals can buy their own insurance taylored to their distinctive needs. There do need to be insurance groundrules, like eliminating pre-existing conditions, but government can set the rules without funding healthcare directly.