Wednesday, June 24, 2009

 

Who's Your Daddy?

The government has set up a new site at http://www.healthreform.gov in which they are carrying on the campaign to reform health care. The site is well put together and very informative, citing not only stories of families who have suffered through the loss of health care benefits, but also success stories of companies (like Safeway) who have flattened increases to their health plans by instituting incentives for a healthier lifestyle for their employees. Way to go, Safeway!

Secretary Sibelius has released a new report about the rise in “out of pocket” expenses, and we believe her numbers are sound. However, out of pocket expenses rise when health care costs rise, and everyone (including members of Congress) are quick to blame the courts and huge awards for injury and suffering as the reason for the rise in the cost of malpractice insurance. Meanwhile, a scientist at Harvard Medical has found that the cost of awards for malpractice have risen very little during the last 20 years.[1] This 2005 study makes note that the sharpest rise in malpractice insurance premiums occurs during the years of the greatest revenue loss from investment income. While the connection was not pursued, it was noted as a significant possibility for the rise in malpractice insurance.

Meanwhile, the President says the new public health plan is, “an important tool to discipline insurance companies.”[2] Since when is it the responsibility of the Federal Government to “discipline” American business? Perhaps we should change the title from “Mr. President” to “Big Daddy”. With the quality of speech writers available to the President, you would think a better choice of words could be found.

Later…



[1] Amitabh Chandra, Shantanu Nundy, and Seth A. Seabury The Growth Of Physician Medical Malpractice Payments: Evidence From The National Practitioner Data Bank Health Affairs Web Exclusive, May 31, 2005

[2] "CNN Political Ticker: All politics, all the time Blog Archive - Obama: public health plan will help discipline insurance companies « - Blogs from CNN.com." CNN Political Ticker: All politics, all the time - Blogs from CNN.com. 23 June 2009. 24 June 2009


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