Health Care and Medical Insurance

        We have a problem with raising health care costs.  I find it is interesting that when we listen to our politicians address this problem, they interchange the terms “Health Care” and “Medical Insurance”. 

        These terms are not interchangeable.  One is the problem and the other is one of the causes of the problem.  Our “First Dollar Coverage” medical insurance is one of the causes for rising health care costs.  It is crazy to think we can fix the problem caused by insurance with insurance. 

        The only change to medical insurance that can help control health care costs is eliminating “First Dollar Coverage” medical insurance, and replacing it with true “Major Medical” insurance and medical savings accounts. 

        I also seldom hear a politician say that health care should be between the patient and the health care provider with no third party influence.  Both the government and the medical insurance company are a third party.  They should not be involved in this relationship.  The only relationship for the medical insurance company should be with the insured.  There should be no contact with the health care provider.

        I would encourage both the public and the health care providers to make an attempt to eliminate the medical insurance company from this relationship.  Health care providers should offer discounts to patients that do not want the health care provider to bill their insurance.  Why not?  It saves the health care provider time and money if the patient just pays the bill.

        Did you know that today many health care providers offer discounts of up to 70% to insurance companies?  This means that if you just want to pay your bill, they are ripping you off.  The discounting should be to the patient and not the insurance company.  Let’s start asking. This is one way we can start to address the rising health care costs. 

        We the public must do our part.  Ask what a medical service costs.  If we shop for medical services, we can help to bring down costs.  A higher price does not mean better quality in many cases.

        The current attitude with “First Dollar Coverage” must change.  The “Who cares what it costs?  It’s covered by insurance anyway.” attitude must change.

I get frustrated when I here someone say they can’t afford to go to the doctor or dentist because they don’t have insurance.  If they can’t afford a normal routine doctor or dentist visit, they certainly cannot afford “First Dollar Coverage” insurance to cover these visits. 

        One of the problems with the current “First Dollar Coverage” insurance is that the coverage is sometimes gone when you really need it.  Think about it.  You, or your employer, may pay for your medical insurance for decades.  There is no cash value built up over the years like there would be with a medical savings plan. 

        When you get sick, you have to keep paying the premiums, deductibles, and co-pays.   The problem is if you are too sick to work, you may not be able to pay those insurance premiums, deductibles, and co-pays.  You now have no insurance.  What good was that insurance?  With a medical savings plan, you would have a cash reserve to pay the “Major Medical” insurance premiums and deductibles. 

Where do your premiums for your “First Dollar Coverage” medical insurance go?  You would like to think you get your money back in claims.  This only happens for something over half of your premiums.  If fact, a large portion of the premiums never go to pay claims. 

Insurance companies are in business to make money.  They want a profit.  They also have expenses.  They have employees and huge buildings.  They pay for advertising, marketing, sales commissions, and bonuses.  Don’t forget the campaign contributions and lobbyists.   They have to look out for the medical insurance company’s best interest. 

I love some of the television ads saying how buying their insurance can save you money.  You almost get the idea the insurance company is a charity.  What a joke.

We need change, but this change can’t happen overnight as people do not have the medical savings accounts at this time.  It will have to be gradual.  This slow change is good anyway, because as we eliminate the medical insurance involvement in health care except for the true catastrophic health care cost, thousands of people working in medical claims will be no longer be needed and will be out of work. 

We will still need to provide medical services to the poor.  This should be done with clinics and charity.  The Veterans Administration Medical system is proof of how well it can work.

It cannot be done with either government or private

insurance.  Running routine and preventive heath care through insurance increases the cost 200% to 500%.  It is time we address this problem. 

1.      Eliminate expensive “First Dollar coverage medical insurance

2.      Move to true “Major Medical” insurance and medical savings plans.

3.      Eliminate any third parties from the patient-health care provider including insurance companies and government.