Monthly Archive for September, 2010

Health Care Reform and the Same Old Administrative Waste

During the healthcare reform debates, Republicans and others argued that malpractice awards and the litigation surrounding them contributed to the high cost of health care in this country.

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Don't wander off the beaten path

I suggest they might be looking in the wrong courtrooms.

Last week I wrote about the new age 26 rules and the costs that don’t get counted towards the already outrageous costs of health care, costs that are born by employers as they split hairs on eligibility rules.

Rather than a simple system of universal eligibility that opens one door to everyone, the United States has built a system of silos that forces Americans to navigate a maze of rules that makes distinctions based on relationships, age, residence, economic status, and other criteria.

Some get lost trying to find the right door.

Some end up in court.

In fact, there are whole industries built around two such silos, and that overhead is not counted towards the cost of health care.  Such expense only makes sense in a through the looking glass world where ideology trumps practicality. Continue reading ‘Health Care Reform and the Same Old Administrative Waste’

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Health Care Reform and Age-26 Dependents

Outdated machinery

Outdated machinery

We spend too much on health care administration here in the United States.  Everyone seems to concede that.

But those numbers only look at the layers of administration in the insurance industry, and physician and hospital billing to that industry.  Most of us feel that burden when we encounter the health care industry.

Employer waste

Employers spend a lot of their money trying to make the health care system work – for them.  They do provide health care coverage for approximately 60% of Americans.

The changes brought about by health care reform is reminding us just how much of employer resources don’t get counted toward health care. Continue reading ‘Health Care Reform and Age-26 Dependents’

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Will PPACA Increase Employer Health Insurance?

Can you really trust computers?

The New England Journal of Medicine recently reported on a Rand study that concludes that the Accountable Care Act will result in a large net increase in employer-sponsored insurance offers.  They predict that the number of workers getting insurance from their employers will rise from the current 60% to 86%.KFF dw_09_08_2010

The Rand study was based on computer modeling.  Is there reason to think that the model is based in reality?

Yes and No

The study itself points to the reality of the experience in Massachusetts where employer based coverage increased after passage of a similar health reform initiative.

In addition, there is this little quirk in the recently released Kaiser Family Foundation 2010 Employer Benefit Survey.

Katherine Hobson writes about it on her blog at the Wall Street Journal. Continue reading ‘Will PPACA Increase Employer Health Insurance?’

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Healthcare Reform and Labor Day

Labor Day weekend is a good time to ask, “how has health care reform affected American workers?”

Remember President Obama’s line, “if you like your health insurance, you can keep it.”YouTube Preview Image

The members of the United Steelworkers Local 7-669 In Metropolis, IL wanted to keep their benefits.  Understandable.  They wok in a chemical plant owned by Honewell, Inc. that produces uranium hexafluoride, a highly toxic material regulated by the Nuclear Regulatory Commission (NRC).

In front of the Honeywell plant, the union has erected 42 crosses in memory of those members who have died of cancer.  This is that same Honeywell company that brought you that little round thermostat that keeps your home comfortable. Continue reading ‘Healthcare Reform and Labor Day’

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