For the last five years of my life I have worked in the healthcare industry. One of the biggest issues plaguing our nation today has been the ever rising cost of health care. If we don't get costs under control, we risk losing the entire system, as well as potentially crippling our economy. For the sake of our future, we must find a way to lower the cost of health care in this nation. Last year the average cost of an insurance policy for a family of four was $20,728.00 according to the Milliman Medical Index (2012 Milliman Medical Index, figure 1). The median household income for 2012 was $51,017.00 according to Steve Hargreaves for CNN Money (2013, para. 1). This means the average American spends almost 40.62 percent of health …show more content…
Rather than having the other claims adjusted, the provider insisted that we not look into the matter further because they did not want us to take back any money. Sadly this is just one example of fraud; it is not uncommon to see providers change the coding of claims to get something that they know should not be paid to process for payment. Cracking down on this type of fraud will reduce the amount of money paid out on claims by insurance carriers. Since claims payments directly affect the cost of insurance, this will also help in lowering premiums. Another issue contributing to the high cost of health care is inefficient use of premium dollars from insurance companies. I am proud to say that the insurance company I work for does a great job of making proper use of insurance premiums. As a company we use on average 8 cents of every premium dollar. This means that 92 Percent of each dollar goes to paying patient's claims and building reserves. Unfortunately this is not as common as it should be. According to Harvard's David Cutler who is among the country's foremost health economists, our administrative costs for health care equal one quarter of the cost of health care today. By comparison, the next closest country spends around 10 to 15 percent on administrative costs (2013, para. 4 and 6). There are many things that could be done to lower administrative costs. One such solution would be to move to a paperless system of medical records. During
Healthcare and healthcare reform are hot topics of debate in today 's society. As the population grows and life expectancy increases, the nation faces many challenges in providing healthcare benefits to the people.
as defensive medicine practice, new technology, malpractice lawsuit and the uninsured. New technology is the biggest factor of the rising cost of healthcare to treated patient of their illness. New technologies have seemed to be the driving force of high healthcare cost in America. The technology accounts for 38 to 65 percent of healthcare spending in America (Johnson, 2011). The annual spending of health care increased from 75 billion in 1970 to 2.0 trillion in 2005 and is estimated to reach 4.0 trillion in 2015 (Kaiser Foundation, 2013). U.S. citizens spent 5,267 per capita for health care in 2002- 53 percent more than any other country” (2005). “America spent 5267 per capita and in Switzerland they spent 3074 per capita” about 1821 cheaper than ours (Starfield, B 2010). Controlling the technology isn’t easy thing to do because of technology prices are set by manufacturing and the installer of the new medical equipment’s. However, there other way
An issue that is widely discussed and debated concerning the United States’ economy is our health care system. The health care system in the United States is not public, meaning that the states does not offer free or affordable health care service. In Canada, France and Great Britain, for example, the government funds health care through taxes. The United States, on the other hand, opted for another direction and passed the burden of health care spending on individual consumers as well as employers and insurers. In July 2006, the issue was transparency: should the American people know the price of the health care service they use and the results doctors and hospitals achieve? The Wall Street Journal article revealed that “U.S. hospitals,
Health care has been an area of discussion for some time now. In the United States, the current health care system is a private system that allows individuals to choose their own method of care. Despite the freedom that comes with the independent nature of this type of health care system, the true disposition creates more problems than it solves. The privacy of the health care institutions has caused affordability and access to become serious issues with this system. Additionally, those with lower socioeconomic status fall short of the ability to access the same pool of resources as everyone else. Due to the issues with affordability, access, and the poor infrastructure of the health care system, a universal health
“We will pass reform that lowers cost, promotes choice, and provides coverage that every American can count on. And we will do it this year.” The preceding is a powerful statement from the newly elected President Barak Obama. One of the main aspects of both political campaigns was health care reform. The above quote shows passion and encouragement, but the quotes about health care do not end there. Georgian republican gubernatorial candidate and health care policy maker John Oxendine expressed: “Their proposal would virtually devastate the private healthcare sector in this country along with competition and patient choice, by replacing it with bureaucratic planning and government control. The result of this plan and its one trillion
Health insurance comes as second nature to many of us. We grab that blue and white card and put it in our wallet and forget about it until we are sick or injured. When this happens, there it is, cushioning our fall like the extra padding it provided to cushion our wallets. This is not the case with everyone, however. Many Americans have no cushion to fall back on, no blue and white card to show the emergency room when they have an unexpected health concern. No HMO with a convenient co-pay amount when their son or daughter develops an ear infection.
The Affordable Care Act was into law March 2010. The law has planned to make wide-range of changes to healthcare in the United States. The Affordable Care Act efforts to offer universal right to use to healthcare for Americans, control the rising costs of healthcare, adjust the private insurance industry complete things like state-based private exchanges and online marketplace that brings together state-approved insurance plans from multiple companies so consumers can shop for individual insurance plans, improve the quality of healthcare and make healthcare choices more consumer friendly and easier to understand (Medical Mutual,2017). Healthcare reform involves nearly all Americans from old or young,
Since the implementation of the Affordable Care Act (ACA) in 2010, there has been a continuous debate about the effects it will have on the United States economy. Many people argue that expanding insurance coverage for all people will create crippling cost burdens for the economy and taxpayers. While others believe that the ACA will in fact give the economy a much-needed boost. In 2006 as a measure to improve overall healthcare, the state of Massachusetts implemented the Health Care Insurance Reform Act. This paper looks at the positive and negative effects of the Massachusetts Health Care Insurance Reform Act (MHRA). Using a literature review of public health studies ranging from 2009-2012, I argue that there are both positive and negative effects of the Massachusetts Health Care Insurance Reform. While the Massachusetts Reform increased health insurance coverage for all citizens and decreased the number of uninsured citizens accessing emergency rooms, it also did very little to decrease already existing racial, ethnic, and socioeconomic disparities among minorities and whites in the state of Massachusetts. Understanding the Massachusetts Health Care Insurance Reform Act may help in the goal of trying to achieve near-universal healthcare. This paper provides an understanding of the missing pieces in the Massachusetts Health Care Insurance Reform Act and constitutes a starting place from which to understand the Affordable Care Act.
There are many problems with healthcare in America today. One of them including the astronomical cost. According to CDC.ORG in 2007 the average person spends seven thousand four hundred dollars per year on health care alone. This rise in healthcare is extremely detrimental for families, seniors, and people of all ages. With such a high cost of insurance people are forced to make hard choices in
U.S. health care reform is currently one of the most heavily discussed topics in health discourse and politics. After former President Clinton’s failed attempt at health care reform in the mid-1990s, the Bush administration showed no serious efforts at achieving universal health coverage for the millions of uninsured Americans. With Barack Obama as the current U.S. President, health care reform is once again a top priority. President Obama has made a promise to “provide affordable, comprehensive, and portable health coverage for all Americans…” by the end of his first term (Barackobama.com). The heated debate between the two major political parties over health care reform revolves around how to pay for it and more importantly, whether it
America is facing a healthcare crisis! In town hall meetings across America, brawls have broken out during speeches given in an attempt to promote government run healthcare. When looking at the big picture, healthcare is only a small portion of the current problems, but a very big one, in the eyes of Americans, considering how it affects every citizen. The healthcare system in the United States is experiencing hard times, but does that mean, we, as Americans, should just step aside and let government take over? Absolutely not! Government will claim that the numbers of uninsured Americans are high because of the prices insurance companies charge, but are these numbers correct and who makes up these numbers? What will a government run
America is without a question the leading country of medical and scientific advances. There always seem to be a new medical breakthrough every time you watch the news or read the paper, especially in the cure of certain diseases. However, the medical research requires an enormous amount of money. The U.S. spends the most money on health care yet many people, mainly the working class Americans are still without any type of health insurance and thus are more susceptible to health risks and problems. The concept of health insurance for Americans was formulated over a century ago. Most Americans obtain health insurance from
Healthcare is a major topic that is constantly being brought up in the news. It is often discussed within categories such as economics, politics, and policy. The reason that is, is because of healthcare's crucial role integration as part of each of these things. With that said, the United States has received back and forth opinions on the healthcare services that it offers. Karl Polanyi defines embeddedness as a way in which economic activity is constrained societies set of institutions (Tuttle 2018). So this implies that there are two main elements that are 'embedded' into the American culture, individualism and capitalism. These two elements shape the way the healthcare system is set up. Capitalism
41 million Americans did not have health insurance in 2001. In 2004, the number rose to 45 million. And in 2005, 47 million people were living without health care. On the other hand, 84% of Americans had health care in 2005 according to a census. So what is wrong with America's health care?
The healthcare system plays a key role in the economic stability of our country, as every year trillions are spent in attempt to combat disease and health issues that plaque humanity. As it makes up a significant amount of the expenditures in the economy, so the costs associated with health care of those in pain from illness and injury, including lost productivity, increased need of assistance in living and also the cost of death in some cases, is important to the economic stability and over all standard of living in our country. The key to economic prosperity is balancing the need for care with the costs of illness to keep as many people healthy and well without breaking the bank of collective society. The costs of healthcare have been increasingly problematic in recent years with so many issues surrounding the current system. With the “total health care spending in the United States expected to reach $4.8 trillion in 2021, up from $2.6 trillion in 2010 and $75 billion in 1970, meaning that health care spending will account for nearly 20 percent of gross domestic product (GDP), or one-fifth of the U.S. economy, by 2021” (Aetna). With this in mind it is apparent that as we look at the trillion-dollar industry of the medical community it seems that it needs to be a major focus of our nation as a whole and with the many issues come many creative solutions. First let us analyze the reasons behind the current cost and the major problems facing this industry and than discus what