The nations health care crisis has affected every state so it was fitting for Governor Douglas to focus a major portion of his budget speech on health care. In today’s economy, companies and individuals are looking for answers to this fiscal predicament.
Employers are looking for ways to attract and retain employees but health care costs are out of control.
Employees are sharing more of the health care cost burden and, in some cases, go without when employers drop coverage.
About 10 percent of Vermonters are uninsured while about 1 in 4 are covered by the state Medicaid program, whose budget continues to outpace inflation by 3X. State officials are contemplating cuts and programs to avert a spending catastrophe.
Some are advocating higher taxes and state mandated health insurance (similar to Maine’s universal coverage plan) to cover the uninsured. Others are advocating a single payer plan thinking that government can provide the efficiency, direction and financial resources to grant equitable health care for everyone.
You only have to think about the compassion of the IRS, the efficiencies of our Post Office or cost effectiveness of the Pentagon in purchasing hammers to be reminded that Government is not the solution to health care overhaul.
The Rand Corporation conducted a large social experiment on medical spending habits and concluded the “use of medical services responds unequivocally to changes in the amount paid out-of pocket,” and “ the average person’s health changed very little, despite the rather large change in use caused by insurance plans.”
We need a reformation of health care system using 21st century solutions that enables consumers to take charge of their health, and provides better choices with and quality and competitive costs.
Let’s look at what’s transpired over the past decade. Many of us are able to purchase airline tickets on line and can view carrier price options instantaneously. Deposits or getting cash by ATM’s is as much a way of life today as is pumping gas and paying at the pump. In fact, my wife was able to compare prices for a new car through the Internet and took delivery from a Vermont dealer. Consumer Report also provides comparison information and “best buy” recommendations.
We should be able to do the same for health care. There’s a company in Burlington designing a computer program to provide consumers and healthcare teams the maximum amount of information to guide their decisions and actions. Web MD is another source for consumers to learn more about health issues and options.
Vermont’s Ethan Allen Institute reported that the State of Wisconsin has a web site designed to promote competition in health care. It publishes charges for common outpatient and hospital stay procedures. The state average for a gall bladder removal was $6,600 but ranged from $4,348 to $13,837 in Milwaukee County. Illinois is developing a more comprehensive site that will include hospital mortality and hospital-related infection rates.
Consumers need quality information on care. Data found in HealthGrades.com shows the mortality rate at Fletcher Allen for infections is 62% higher than Albany Medical this year. However, coronary bypass and critical heart procedure successes are comparable. Knowing the infection rate of hospitals and their success rate for certain procedures will empower consumers to weight costs versus quality of service in health care.
Technologies exist today to aid consumer driven health care reform to make it more efficient, more convenient and less costly. Physicians can submit prescriptions electronically, disease management and telemedicine using the computer are all advances we should vigorously implement.
The Liberty Health Group in Seattle requires patient payment to the Doctor at the time of service. Liberty indicates this approach is controlling health cost escalation in the region. Hospital costs for hernia repair was $4,000 but the cash price was $1,600. When the Ethan Allen Institute recently tried to get similar information direct pay (cash) for four procedures in Vermont hospitals they could not. Only Northwestern responded promptly; six hospitals just refused.
With the focus shifted to the employee/consumer, the $5,000 currently spent on health care per year for every citizen can be better spent using a 21st century system of health care that saves lives and money through empowering consumers in the market.
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Thank you for your calls and notes. I can be reached at 658-3975 (home), 1-800-322-5616 or 228-2228 (State House) and via e-mail.
Rep. Frank Mazur
South Burlington