But let’s not accuse our politicians of being smart!
By Jack E. Lohman
Taiwan experts traveled the world looking for the best healthcare model to copy for their own country, and settled on (drum-roll please), America’s Medicare system. With 100% private doctors and hospitals, only with government payment rather than insurance company and employer payment.
And it works! With better health outcomes than ours (because they cover 100% of their citizens) they implemented it at a total cost of 7% of GDP. (Our costs are 17.5% of GDP with insurance company profits and administration!)
And they relieved employers from the cost of providing health care, and allowed 100% portability for employees wanting to change jobs or start new businesses. What’s not to like about that?
100% in, 0% out
Everybody is covered at less than half our costs, because they’ve eliminated the middleman. Instead of insurers taking 20% off the top and distributing the rest, a government’s private contractor distributes the money. Same medical services are paid for, except without the private mark-up for CEO salaries and retirement benefits, shareholder profits, actuarial and legal fees, marketing and broker commissions, and even political costs (campaign contributions) which are added to the bottom line and passed onto the consumers.
But get this…
100% of today’s inflated costs are passed onto consumers, if not through premiums then certainly when businesses add their healthcare costs to the price of their product and we reimburse them at the cash register.
And those costs (less the 20% of insurer waste) are also picked up by the taxpayers under a single-payer plan as well. Or however, but the same people paying today will also pay tomorrow… one way or the other. The trick is selecting the best way to do it.
Today we are paying in the worst way possible by forcing employers to pay the bill and add their costs to the price of their product. OR, by taking their jobs to places like Taiwan, where their system does not penalize employers. And all of this so our politicians can give their insurer-friends 20% of the pie? Duh!!!