Haven't had time to weigh in on this thread much but to give Gruss a
quick answer about "which Medicare" the answer is Medicare as a whole
program. I imagine that the administrative overhead varies between
plan parts but as an overall program, its overhead costs run pretty
low. Since Medicare is an insurance program, administrative costs are
roughly defined as the percentage of overall budget taken up by money
that isn't going to payments. At a quick google, here is an article
that shows a paper taking the "low administrative costs" of medicare
to task and saying they are higher than at first seemed and then a
response to that assertion. The figures I've generally seen range from
an administrative overhead of 2 to 8 percent for Medicare and 15 to 30
percent for private insurance.
http://www.pnhp.org/news/2006/january/cahis_claim_of_medi.php

As for IT in healthcare, well, that's coming. That is my area of
expertise and employment currently. I write software to make medical
billing and administration more efficient and the company I work for
does data interchange between medical systems. There are a whole lot
of gotchas out there and the medical world is inherently a bit on the
conservative side. But things are coming along. If anyone ever wants
help sorting out the mishmash of acronyms like CCHIT, HITSP, CDA, CCR,
CCD, HL7, RIMMBA, HIE, IHE, RHIO, etc then I'll help out and make your
head hurt. You'll have to buy me a beer though.

Judah

On Mon, Feb 16, 2009 at 9:09 AM, Cameron Childress <[email protected]> wrote:
>
> On Mon, Feb 16, 2009 at 12:03 PM, Gruss Gott <[email protected]> wrote:
>> But if we really want to take cost out of the system we need to lower
>> admin costs and that can only be done through standardization and
>> automation.
>
> Agreed - big time.  Medical systems are painfully disconnected from an
> IT standpoint.  Both from a billing/administrative standpoint and
> medical records standpoint.
>
> IRS isn't too far behind, though they are improving in little itsy
> bitsy baby steps.
>
> -Cameron
>
> 

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