The U.S. Health Care System Is In Bad Shape
August 3, 2008
Background: The Need To Reform The US Health Care System
The health care system in the United States is in bad shape. Compared to the health care system of other developing countries such as Canada and the United Kingdom, the price that every American will pay is quite expensive and is not providing citizens the health care services they deserve.
According to a 2007 study conducted by the Milliken Institute, 109 million customers in the United States have been diagnosed with several of the most common chronic diseases such as diabetes, mental illnesses, stroke, hypertension, pulmonary illnesses, among others. This goes to show that these conditions are not being properly treated by the hospital staff.
Recent estimates put yearly health care expenditures at $277 billion with losses placed at $1 trillion. This translates to a 10% reduction in the gross domestic product (GDP). From $277 billion, the cost of health care in the United States could reach $2.77 trillion by 2010, representing an annual increase of 7%.
Presently, majority of Americans do not have health care coverage which fueled calls for the adoption of an universal health care. At the same time, there is reluctance on the part of legislators to let the government play an active role in the health care system.
The current method of health care administration being adopted by most HMOs is the multi-payer system. With this kind of method, the cost of health care is privately paid for by an individual out of their own pocket.
In other industrialized countries, health care of the citizens is the primary responsibility of the state. In countries like Canada, for example, a patient can look forward to the administration of health care services in any hospital in the country. Likewise, in a study by the Organization for Economic Cooperation & Development (OECD), there is a great difference between their cost of health care with that of the United States.
According to 2003 statistics, the average GDP spending of 29 OECD countries on health care is 8.4% as opposed to the 15% spending of the United States on health care.
Recommendations On The Adoption of A Single-Payer System In the Delivery of Health Care Services
1. With a single-payer system, there are five ways in which health care services would be administered. A universal health care system would make every citizen entitled to health care as it would be subsidized by either the federal or state government.
2. Likewise, under the single-payer system, the employer will charge a certain percentage which will serve as a payroll tax. The amount will directly go to the health care provider not to Federal funds.
3. Eventually, the single-payer system will replace the Medicare. But for the meantime, employees with Medicare coverage will have to pay for a slightly higher percentage of income than those without coverage.
4. To handle the administration of health care, there are three proposed models that can be adopted. The first one would be a system that works like Medicare. The second one would be the establishment of a non-profit NGO which will handle the administration of health care services. The third model would be to put up a non-partisan, quasi-independent government agency. Administration can likewise be handled by the various states.
5. With a single-payer system, the problem of non-insurance will be minimized. Compared to the multi-payer system, the number of uninsured will only increase. Likewise, this is the solution to increasing health care costs.
6. The single-payer system would insure that health care will be paying a similar percentage thus doing away with the traditional practice of the insured paying more than the insured for a similar procedure.
7. On the part of the physician, they can still indulge in private practice since they would not be receiving their consultation fees from the health care system.
8. With a single-payer system, it is the health care provider who will make the decisions and not the patient. The cost of service is a product of thorough review and not because it was approved even before the consultation was conducted.
9. With a universal health care, patients can look forward to quality care. The Federal government can substantially increase their funding for improving infrastructure and training health care providers.
References
Battista, J(2004 November 16). Solving The Problem Of The Uninsured. Connecticut
Coalition for Universal Health Care. Retrieved August 3 2008 from
http://cthealth.server101.com/solving_the_problem_of_the_uninsured.htm
Health Care Trends. Plunkett Research, Ltd. Retrieved August 2008 from
http://www.plunkettresearch.com/Industries/HealthCare/HealthCareTrends/tabid/294/Default.aspx
Peratis, K(2005 June 3). The Price of Multi-Payer Health Care. The Jewish Daily
Forward. Retrieved August 3 2008 from http://www.forward.com/articles/3606/