Friday, June 29, 2012

Mixed signals

Does anyone understand basic economics these days?  I'm thinking "no".  Consider this:  People say they like the parts of Obamacare that eliminate the $1M lifetime cap on insurance company's liability, they like the part about removing pre-existing conditions as an excuse for denying coverage, they like the part about seniors saving on prescription drugs, they like being able to keep their kids on their policy until age 26....but they are vehemently opposed to the idea of requiring everyone to purchase health insurance (the individual mandate).  "It's just un-American.  The damn government has no business telling me what I have to do.  This is supposed to be a free country!"


How do people expect insurance companies to stay in business if they take on unlimited liability, cover all the sick and infirm, and give away Rx drugs if they don't take in a lot more money to cover these costs?  There are only 2 ways to get more money....raise premiums 300-400% (?) or broaden their base of insured by signing up all those healthy 20-somethings who think they're bullet-proof and don't need insurance.  


You know people aren't going to stand for dramatically higher insurance premiums, which leaves only the individual mandate as a viable way to increase cash flow.  You can't have the perks without paying for them.  There's no free lunch. This is NOT an endorsement of Obamacare per se, but it does at least start the discussion about what needs to be changed and how we're going to pay for it. 


You want to get health care costs down?  Try this....I guarantee it will work:  Repeal the Emergency Medical Treatment Act of 1986.  That's the law that requires hospitals to treat anyone who walks in for "emergency" care, whether they can pay for it or not.  Doing that would save BILLIONS (trillions?) of dollars.  I'd love to see a show of hands of all those who would turn away a mother with a sick child or the innocent victim of an accident or a violent crime.  You can't pick and choose between the truly needy and those who can afford insurance but are just having too much fun to bother buying it.  You're the "death squad".  Anyone....?


S


11 comments:

  1. Does the person who just pays the fine have coverage? In about three years when people actually know what is in this bill there will probably be revisions.

    I wonder how much the lady if front of me the last time I went to the ER cost? Her issue? She was bitten by a mosquito.

    Is there any answer? We have seen from other countries tht universal Health care means zero or poor health care (unless you can afford to jump the line.)

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  2. You're right Joe. They can pay the fine, THEN go to the hospital and get the same care anyway. Wasn't thought out too well, was it? Is there an answer? I dunno, but at least we can identify the most blatant shortcomings and addresss those.

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  3. I think I read in a Yahoo article that really only about 6% of people don't have insurance. So it's not like this mandate is going to affect that many people.

    Of course the easiest way to solve things were if employers actually offered decent health care plans to their workers, like say the kind Congress gets. But one of the first ways employers save money (after layoffs) is to increase the portion of insurance employees are responsible for and then they'll probably demand wage concessions on top of it which really creates a double whammy for people.

    Anyway, like I told my brother when he was ranting about this, the state mandates you have car insurance and I don't see you running down to the capital to demand that gets overturned. If it's good enough for your car, shouldn't it be good enough for YOU?

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  4. PT....We can't afford the kind of insurance plan Congress has. You knew they exempted themselves from Obamacare, didn't you? Here's an idea...demand Congress have the same coverage the rest of us get, at the same price and out of their pocket. Haha! I can hear 'em squealing now!

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  5. Yes, Scott, that would be a good move but, of course, it will never happen.

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  6. Of course not, Bruce. We seem to want to do what's right, but we just conveniently forget to pay for it. If we want these good things, we ALL have to chip in to pay for them.

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  7. ...but I don't want to be part of a Death Squad! I think we will eventually move in the direction of a single pay system because it's the only thing that makes sense. As Americans, we never agree on what makes sense first, we need to struggle through every other option first. But we'll get there eventually.

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  8. quote:"It's just un-American. The damn government has no business telling me what I have to do. This is supposed to be a free country!"

    THAT is such a poor attitude! How do people expect things to get paid?? more TAXES? What about public education... not paid with insurance but via taxes, so what's the difference? You still HAVE to pay for it somehow!

    Too many people want all the free-bees without doing their share to make it work. Too many people talk about their "rights" as Americans when actually it's "priveledges".

    quote: "We have seen from other countries tht universal Health care means zero or poor health care (unless you can afford to jump the line.)"
    We have universal health care in Germany and it works great, and we get GOOD care!... and we (yes, I say "we" because I identify myself with this country more and more after 43 yrs. residence) are NOT socialists here!!! The quality of the care depends often on the doctor or hospital... their are rotten ones as well as great ones.

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  9. My point exactly Dorrie. You want the perks, you gotta pay for them. We have no discipline here, unlike Germany which is known for theirs. Our politicians learned years ago to treat everyone to everything they want, cost be damned. That's why our deficit after all these years is through the roof. I also agree that what most people here call "rights" are actually "privileges".

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  10. It's hard to believe anyone would rather stay in a system run by insurance companies who don't want to have to accept anyone who actually needs them. It just doesn't make a lick of sense.

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  11. Exactly my point Joan. What we have now isn't working, and will only get worse.

    S

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