[Winona Online Democracy] I'm wondering in anyone else has ever heard the following statistic about Health Care costs. I can't remember now where I first heard it.
I read once that if you factor out the nominal rate of inflation since 1980 that ninety(some) percent of the addition increase in Heath Care costs just coincidentally happens to equal the increase in Insurance and Health Care Provider profits over that same period of time. The study argued that there was no real increase in "costs" at all, only an increase in the amount they we were allowing insurance companies and hospitals to skim off as profit. I think the study was done by an East Coast "think tank" that was affiliated with a well known healthcare foundation and I think it is from roughly 2002. Bryon Bothun Quoting Dwayne and Denine Voegeli <[EMAIL PROTECTED]>: > [Winona Online Democracy] > > I strongly agree with Paul. > > The Massachusetts Plan a false hope, a mirage. It's also a windfall for the > > insurance companies. > > It's VERY important to be very clear when people say, "universal health care > > coverage," that they explain how they will make it happen. > > Republicans and Democrats both say they are in favor of universal health > care coverage. So what? That is easy and cheap to say. > > The tough part is showing how you will make it happen. > > By the way, there have been bills in the Minnesota Legislature to create a > single-payer health care system that would give better health insurance to > everyone AND cut costs. > > The problem is that both Republicans AND Democrats have blocked those bills > from leaving certain important committees. The insurance (and drug) > corporations own the politicians through our current system of legalized > bribery known as campaign contributions. Fix our democracy and the > democracy will fix our health care system. > > Below is a copy of a statement made by the Physicians for a National Health > Program group in response to the Massachusetts plan. Some of what they say > is very similar to what Paul said. > > F.Y.I. > > Dwayne Voegeli > > April 5, 2006 > > ============ > > Massachusetts Health Reform Bill: A False Promise of Universal Coverage > > > For Immediate Release: April 5, 2006 > > Contacts: > Steffie Woolhandler, M.D., 617-497-1268 > David Himmelstein, M.D., 617-665-1032 > Nick Skala, 312-782-6006 > > Statement by Steffie Woolhandler, M.D., M.P.H. and David U. Himmelstein, > M.D. > > It's a stirring scene. The Governor, legislative leaders and leaders of > Health Care For All standing in the State House Rotunda declaring victory in > > the fight for universal health coverage. Unfortunately, this week's tableau > merely repeats one from 20 years ago when Governor Dukakis was celebrating > passage of his universal healthcare bill. That plan imploded within two > years, and today about 250,000 more people are uninsured in Massachusetts > than the day it was signed. Unfortunately, Massachusetts' new health reform > legislation looks set to repeat that disaster. > > What's in the New Bill? > > The new bill includes three key provisions meant to expand coverage. First, > it would modestly expand Medicaid eligibility. Second, it would offer > subsidies for the purchase of private coverage to low-income individuals and > > families, though the size of the subsidies has yet to be determined. > Finally, those making more than three times the poverty income (about > $30,000 for a single person) would have to buy their own coverage or pay a > fine. > > To help make coverage more affordable, a new state agency will connect > people with the private insurance plans that sell the coverage, and allow > people to use pre-tax dollars to purchase coverage (a tax break that mostly > helps affluent tax payers who are in high tax brackets). This new agency is > also supposed to help design affordable plans. > > Businesses that employ more than 10 people and fail to provide health > insurance will be assessed a fee (not more than $295) to help subsidize > care. Additionally, hospitals won a rate hike assuring them better payments > from state programs, and several provisions were included that are meant to > attract additional Federal funding to help pay for the Medicaid expansion. > > What's Wrong With This Picture? > > First, the politicians assumed that only about 500,000 people in > Massachusetts are uninsured. The Census Bureau says that 748,000 are > uninsured. Why the difference? The 500,000 figure comes from a phone survey > conducted in English and Spanish. Anyone without a phone or who speaks > another language is counted as insured. The 748,000 figure comes from a > door-to-door survey carried out in many languages (including Portuguese and > Haitian Creole, common languages in Massachusetts). In sum, the reform plan > wishes away 248,000 uninsured people who don't have phones or don't speak > English or Spanish. It provides no funding or means to get them coverage. > > Second, the linchpin of the plan is the false assumption that uninsured > people will be able to find affordable health plans. A typical group policy > in Massachusetts costs about $4500 annually for an individual and more than > $11,000 for family coverage. A wealthy uninsured person could afford that - > but few of the uninsured are wealthy. A 25 year old fitness instructor can > find a cheaper plan. But few of the uninsured are young and healthy. > According to Census Bureau figures, only 12.4% of the 748,000 uninsured in > Massachusetts are both young enough to qualify for low-premium plans (under > age 35) and affluent enough (incomes greater than 499% of poverty) to > readily afford them. Yet even this 12.4% figure may be too high if insurers > are allowed to charge higher premiums for persons with health problems; only > > half of uninsured persons in those age and income categories report that > they are in "excellent health". > > The legislation promises that the uninsured will be offered comprehensive, > affordable private health plans. But that's like promising chocolate chip > cookies with no fat, sugar or calories. The only way to get cheaper plans is > > to strip down the coverage - boost copayments, deductibles, uncovered > services etc. > > Hence, the requirement that most of the uninsured purchase coverage will > either require them to pay money they don't have, or buy nearly worthless > stripped down policies that represent coverage in name only. > > Third, the legislation will do nothing to contain the skyrocketing costs of > care in Massachusetts - already the highest in the world. Indeed, it gives > new infusions of cash to hospitals and private insurers. Predictably, rising > > costs will force more and more employers to drop coverage, while state > coffers will be drained by the continuing cost increases in Medicaid. > Moreover, when the next recession hits, tax revenues will fall just as a > flood of newly unemployed people join the Medicaid program or apply for the > insurance subsidies promised in the reform legislation. The program is > simply not sustainable over the long - or even medium - term. > > What Are the Alternatives? > > The legislation offers empty promises and ignores real - and popular - > solutions. > > A single payer universal coverage plan could cut costs by streamlining > health care paperwork, making health care affordable. Massachusetts Blue > Cross spends only 86% of premiums paying for care. It spends the rest - more > > than $700 million last year - on billing, marketing and other administrative > > costs. Harvard Pilgrim and Tufts Health Plan - our other big insurers - are > little better; each took in about $300 million more than it paid out. That's > > ten times as much overhead per enrollee as Canada's national health > insurance program. And our hospitals and doctors spent billions more > fighting with insurers over payments for each bandaid and aspirin tablet. > > Overall, Massachusetts residents will spend $13.3 billion on health care > bureaucracy this year - nearly one third of our total health bill. If we cut > > bureaucracy to Canada's levels we could save $9.4 billion annually, enough > to cover all of the 748,000 uninsured in Massachusetts and to improve > coverage for the rest of us. > > Study after study - by the Congressional Budget Office, the General > Accounting Office and even the Massachusetts Medical Society - have > confirmed that single payer is the only route to affordable universal > coverage. > > And single payer is popular. The Massachusetts Nurses Association supports > it along with dozens of other labor, seniors and consumer groups; so do 62% > of Massachusetts physicians according to a recent survey. National polls > find that almost two-thirds of Americans favor a tax-funded plan like > Medicare that would cover all Americans. > > But single payer national health insurance threatens the multi-million > dollar paychecks of insurance executives, and the outrageous profits of drug > > companies and medical entrepreneurs. > > It's time for politicians to stand up to the insurance and drug industries > and pass health reform that can work. > > Steffie Woolhandler and David Himmelstein are primary care physicians at > Cambridge Hospital and Associate > > Physicians for a National Health Program is an organization of 14,000 > physicians that support universal access to health care. PNHP is > headquartered in Chicago and has chapters and spokespeople across the U.S. > To contact a physician-spokesperson in your area, contact [EMAIL PROTECTED] > or > call 312-782-6006. www.pnhp.org. > > ================ > > > ----- Original Message ----- > From: "Paul Double" <[EMAIL PROTECTED]> > To: "Online Democracy" <[email protected]> > Sent: Wednesday, April 05, 2006 4:20 PM > Subject: [Winona] Health Care > > > [Winona Online Democracy] > > The AP reported today that---- > > Massachusetts approved a new health care initiative that could fine > individuals of more than $1000 per year if they don't get health insurance. > > Employers who don't offer health insurance will pay an annual fee to the > state of $296 per employee. > > All residents are to be insured beginning July 1, 2007 > > Single adults making less than $9500 will have insurance provided by the > state with no premiums or deductibles. > > Families living up to 300 percent of the federal poverty level will be > offered insurance on a sliding scale with no deductibles > > The bill passed 154-2 in the Democrat controlled House and 37-0 in the > Democrat controlled Senate and the Republican Governor is expected to sign > the bill. > > No new taxes are provided in the bill. The cost was put at 316 Million the > first year and $1 Billion by year three. The federal government has pledged > $386 million per year for two years it the state can show progress in > reducing the number of uninsured. > > This one will be fun to watch! It will be even more fun to see the profits > generated by the insurance industry. They will laugh all the way to the > bank just like they did on Medicare D! > > Paul Double > > > _______________________________________________ > This message was posted to Winona Online Democracy > All messages must be signed by the senders actual name. > No commercial solicitations are allowed on this list. > To manage your subscription or view the message archives, please visit > http://mapnp.mnforum.org/mailman/listinfo/winona > Any problems or suggestions can be directed to > mailto:[EMAIL PROTECTED] > If you want help on how to contact elected officials, go to the Contact page > > at > http://www.winonaonlinedemocracy.org > > > -- > No virus found in this incoming message. > Checked by AVG Free Edition. > Version: 7.1.385 / Virus Database: 268.3.5/302 - Release Date: 4/5/2006 > > > _______________________________________________ > This message was posted to Winona Online Democracy > All messages must be signed by the senders actual name. > No commercial solicitations are allowed on this list. > To manage your subscription or view the message archives, please visit > http://mapnp.mnforum.org/mailman/listinfo/winona > Any problems or suggestions can be directed to > mailto:[EMAIL PROTECTED] > If you want help on how to contact elected officials, go to the Contact page > at > http://www.winonaonlinedemocracy.org > _______________________________________________ This message was posted to Winona Online Democracy All messages must be signed by the senders actual name. 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