Newly elected Vermont Governor Shumelin is moving the state towards single payer. He formed a consulting group headed by Dr. William Hsaio, chief designer of the Taiwan health plan. The latter runs at a cost of 6% of GNP and covers 99% of the population. The Vermont legislature seems on board to inch towards making Single Payer happen. It will still be a tough slog.
Like the birth of the Canadian system, Vermont has the chance to be the laboratory for the nation on whether Single Payer will provide a solution to soaring health care costs or not. It is already past time to start this experiment.
Naturally there will be interference from large institutional players. It is important to spotlight this serious effort by the Green Mountain State and show appropriate outside support to let it play out. It will be formulated and shaped by the people of Vermont who are facing unsustainable health costs. Dr. Hsaio has predicted from his data that health care expenses will bankrupt the state within 5 years if something is not done.
As many interested eyes as possible should be directed at their efforts so it plays out in the open. Undue negative influence from those who have chosen to be part of the problem instead of the solution need to be asked to step aside.
The story from Vermont newspapers is presented here and here. Spread the word!
The US pays about 17% of GDP for health care. No other country on earth pays much more than 10%. So moving to a health insurance system that looks something like that found in other countries should reap tremendous savings.
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p>These savings should translate into lower costs for employers, and this should be a big draw. For example, my company employs several hundred factory workers, and they all get health insurance. For hourly factory worker jobs, health insurance is an enormous portion of total compensation (i.e., cost). Companies with these types of workers should save a fortune by moving to a state with world-class health insurance.
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p>So, beyond doing good for its residents, Vermont will be doing good for its economy.
It’s going to be few years before we get the cost savings. This is about health insurance. The costs are largely in the healthcare system. The whole way we practice and deliver medicine in this country need to change.
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p>But, you’re right. This will start the ball rolling in a different direction, and generating those cost savings.
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p>Change may not get us what we want. But NOT changing definitely won’t.
If you look at other countries that have gone Single Payer the main difference is administrative costs. Our country matches the payout for medical services in other countries. Further a more efficient way of paying for care will allow more rational distribution of services.
These other countries pay far less for health care, deliver health care differently, and pay for it differently.
Try this article on for size.
but they’re not the whole bag. It turns out that if you’ve got single payer, the budgetary value of public health policy changes dramatically. The bigger a portion of the medical bills picked up by the gov’t (and the more transparent this is), the better for the budget every smoking secession program, every walk to school program, every AA meeting, every sales-tax-exemption-removal of candy bars, every reduction in air pollution emitted by power plants, etc.
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p>You’re free to argue that these sorts of government interventions are appropriate or inappropriate, but surely you see that the budgetary incentive for these programs grows as the feds pay more of the health care pie, and surely you also agree that, especially in times of tight budgets, there is tremendous pressure to find cost savings.
For the major private insurers in this state, administrative costs plus contribution to surplus is about 10-15% of premium. Medicare spends about 6-7%, between the direct cost of government employees and private contractors. Saving the difference would be big, but it does not account for the even half of the total difference in health spending on a per capita basis.
again
Resolution Calling to Amend the Constitution Banning Corporate Personhood Introduced in Vermont
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p>Go, Vermont!!!!