A More Radical View on Patient Power
This is David Goldhill, writing in The Atlantic:
How am I supposed to be able to afford health care in this system? Well, what if I gave you $1.77 million? Recall, that's how much an insured 22-year-old at my company could expect to pay – and to have paid on his and his family's behalf – over his lifetime, assuming health-care costs are tamed. Sure, most of that money doesn't pass through your hands now. It's hidden in company payments for premiums, or in Medicare taxes and premiums. But think about it: If you had access to those funds over your lifetime, wouldn't you be able to afford your own care? And wouldn't you consume health care differently if you and your family didn't have to spend that money only on care.
Hat tip to Marginal Revolution.
I supposed to be able to afford health care in this system? Well, what if I gave you $1.77 million? Recall, that’s how much an insured 22-year-old at my company could expect to pay – and to have paid on his and his family’s behalf – over his lifetime, assuming health-care costs are tamed. Sure, most of that money doesn’t pass through your hands now. It’s hidden in company payments for premiums, or in Medicare taxes and premiums. But think about it: If you had access to those funds over your lifetime, wouldn’t you be able to afford your own care?
I’ve often said that if people realized how much they are spending on our bloated health care system, they would demand control of the funds. How would I spend my $1.77 million? I’d enroll in a high-deductible indemnity policy and find a network of physicians that provide care for cash. In the event I need a hip replacement or cardiac surgery, I’d check out the high quality hospital in India, such as Apollo Group. Of course, I wouldn’t actually need to travel to India for high quality, low cost care. If we all controlled the vast sums of money that go toward our health care system, a competitive doctor here at home would offer a package deal. With the money I saved I’d probably buy a bigger house and a nicer car and maybe travel more. People don’t understand the high cost of our health care system reduces our standard of living.
If I had my hands on 1.77 million, I would pay cash for each and every medical need. I would still have almost a million dollars left over to enjoy.
Remember that the costs charged by insurance and pharma are nowhere realistic. Insurnace enjoys profit margins of 450%. The majority of the premiums aren’t paying for ANYONE’S medical needs…. they are funding the next company picnic.
Insurance is a HUGE contributing factor in the high cost of medical care. (maybe not the single cause but certainly one of the players).
Of course insurance would never allow the public to control their money, they would be seen for the criminals they are. People would realize that the majority of each premium they pay is invented strictly for profit generation.
I totally agree this control is completely UNCONSTITUTIONAL. Do these elected reps, whom haven’t even obtained any business experience so much as managing a Burger King (no offense BK), realize they are in Blatent Violation of the US Constitution beginning with Article 1 ? They “swore to protect the US Constitution yet have thrown it out the window. Isn’t that grounds for Impeachment of all violators ?
I want my current health care plan un-touched as it saved my life in 1996.
I am Baffled with what they are getting away with.
GOD BLESS AMERICA
I agree that we should throw every legislator now in office OUT! They have violated their oath of office to protect Americans from enemies both foriegn and domestic. Insurance IS an enemy of American citizens. As a buisness they have driven moree families into financial ruin, they have presided over the deaths of MILLIONS, and they have violated each and every contract they have signed. (that is what a insurance policy is after all– a buisness contract).
Healthcare is so expensive in large part because of insurance companies. Insurance picks your doctors, your hospitals, your treatments, and your medications. They take your money and drop coverage as soon as possible BECAUSE you get sick, (which is supposedly why you have health insurance). It is illegal for insurance to drop someone because they get sick. Accordinbg to John Goodman, this has been illegal scince 1997. Yet for the last 12 years they have flaunted the law and have done so with the full support of conservatives. Let me try to break the law as blatantly as insurance does and you can be sure that I would be in a cage really fast.
It is time for legislators to stand up for American citizens rather than be worried about how much money they will get paid by insurance groups. (at present insurance has spent 1/4 of a billion dollars to destroy reform).
Brian: another tirade?
All the conservative policy analysts I know favor guranteed renewable insurance. But for that matter, so do all the liberals. Dropping coverage after one gets sick would seem to be a violation of contract. I don’t know anyone –conservative or liberal, Republican or Democrat — who defends that. Even AHIP (which represents insurance companies) agrees on these issues.
The only cases I have heard about where this has been a problem are murky areas where the insured lies or misrepresents a material fact at the time the insurance is purchased.
I’m not sure what the answer is here, but it would seem to be a very small regulatory issue and one that does not address the major problems of cost, quality and access for the great majority of people.
Stephen-
Tirade? No really. The truth? Definitly. Republicans have supported the insurance industry and have protected it from any changes whatsoever. Everyone knows that insurance does drop coverage when a person starts to be a drain on resources rather than profit-generation. There are multitudes of stories of people being dropped when they get ill. Some may have “lied” but MOST do not. Republicans had at least 4 chances to take the lead and reform healthcare and health-insurance…. they refused to do anything.
SO with full knowledge of the practice of dropping coverage due to sudeen onset of illness, republicans did NOTHING. Are democrats also responsible?
They sure are but the fact that ONLY democrats have ever proposed reforming the system and republicans have ALWAYS opposed any reform, the fact that when republicans had absolute power in the White House and the congress (both senate and house) and yet ignored the call to reform by President Bush, it is quite obvious which party is for reform and which is against. Democrats have always backed reform and republicans have ALWAYS destroyed it. The present day attempt at reform is following the same exact pattern. Democratds for reform and republicans against reform. Republicans have lied, twisted facts, terrified the elderly, and will in the end kill reform YET AGAIN. It is just the simple truth and can be seen quite easily when studying history.
You don’t have to like it but you cannot argue with the historical record….
Democrats for reform and republicans against. Republicans therefore ARE defending the policies and prctises of insurance including the dropping of coverage usually after years of collecting premiums.
Insurance is profit only, they have overcharged there customers and give very little back in covered medical treatments. Just the simple truth.