Saturday, July 28, 2012

The Good Government Does, Yet Another Example

I just received a letter from my health insurance provider.

The Affordable Care Act ("Obamacare") requires insurance companies to rebate part of the premiums it receives if it does not spend at least 85 percent of the premiums on health care services.

In this case, they only spent 84 percent, thus they have to rebate 1 percent of the total health insurance premiums paid the the employer and employees in the group health plan.

Yet another example of how President Obama's health reforms are actually working. Many would have preferred universal coverage - Medicare for all. But at least we're headed in the right direction.


The alternative is continuing to pay comparatively outrageous fees for our health care while receiving no better care, and also having to deal with the millions of citizens that otherwise would be without any health care coverage (other than emergency rooms, which cost even more).

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What do Republicans want? What is their alternative, better plan? "Obamacare" seems to work. What are they opposed to?

Update:

Hmmm, so rising health care costs are the fault of Medicare/Medicaid, Health Maintenance Organizations, socialism, and the government, in general (according to a commenter).

How can nearly every other developed country in the world provide better quality health care, at half the cost, in what are much more "socialized" systems than ours? The answer isn't more "market," it's less. Medicare already controls costs better than the private sector. Removing private insurers and their greed from the equation would bring American health care costs in-line with the rest of the world.

Markets work nicely for socks and widgets, but not so much for health care. For you, "Anonymous," read and learn:

Why We Need An Individual Mandate For Health Care
Why Markets Can't Cure Health Care
Uncertainty & The Welfare Economics Of Medical Care
The Market For Lemons

1 comment:

Anonymous said...

As usual, the truth is right in front of you -- and you either can't see it or you deny it. Aren't you getting tired of being wrong all of the time?

Check out your last chart, the cpi vs. medical care. Can you see where health (medical) care costs parallel the cpi -- right up 'til 1965. Search your little socialist brain -- what happened in '65 that MIGHT have impacted "medical costs", hmmm? I'll wait...

Medicare/Medicaid -- right? Now note how "medical costs" begin to rise relative to the cpi. Note that in 1973, the "medical costs" start to turn on their heel and REALLY start to take off. Did anything happen in '73 that MIGHT be responsible? If you answered that NIXON signed the 1973 HMO Act (authored by Teddy Kennedy) into law, you'd be correct; it limited competition in the medical care market.

So what happens when you limit supply, yet demand increases? Do prices go up, down or stay the same? Right! They go UP, UP, AND AWAY!!! And that's where they've gone FOR THE LAST 50 YEARS.

Lesson: GOVERNMENT interference in the health care market is COMPLETELY responsible for the health care mess that we have now. And YOU think that the SAME people who caused it will "somehow" FIX this when you hand over the health care system for them to run? Really?

Good luck with that.