Article View: pnw.general
Article #874Re: Health Care Insurance Reform
From: Alan Jeddeloh
Date: Thu, 28 Jan 1993 18:00
Date: Thu, 28 Jan 1993 18:00
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2473 bytes
In article <1993Jan26.170516.3949@fylz.wa.com> fyl@fylz.wa.com (Phil Hughes) writes:
> (summary of some of the problems with the current health care non-system)
>...
>General:
- Price gouging by drug companies. Companies milk a product until its
patent runs out, then RAISE the price when generic equivalents become
available. When the government dictates a discoount for government
programs, the company simply raises the list price so the government
program pays the old list price.
Drug prices in the US run from 2 to 10 times the price for the same
drugs in other countries.
- Lack of meaningful competition in the industry. Doctors and hospitals set
prices for procedures and supplies. Insurance companies attempt to control
costs by limiting payments, and the patient is left holding the bag _ex
post facto_. (When was the last time you comparison (price/service) shopped
for a doctor or hospital?)
- Multiple-dipping for routine diagnostic tests. For example, suppose you
see a doctor because of chest pains. The doctor decides he wants to see
a chest X-ray. The billing(s):
(1) Office visit to doctor ($25-50)
(2) X-ray charges from hospital (technician, supplies, etc.) ($50-100)
(3) (Surprise!) bill from radiologist who actually read the X-ray
(or from "Radiology Professionals, PC") (another $25-75)
(4) (Insult to injury) "New patient" setup chages from radiologist
(yet ANOTHER $25-50)
- Doctors owning the labs they refer the patients to. For example, most
MRI machines in the US are owned by partnerships in turn owned by doctors.
The doctors thus have an economic incentive to order diagnostics. At the
same time expensive equipment like MRI machines proliferate and there is
to true competition between providers.
--
Alan Jeddeloh W:(503) 685-2991 H:(503) 292-9740
Tektronix, Inc.; D/S 60-850; PO Box 1000; Wilsonville, OR 97070
Alan.Jeddeloh@tek.com
You can put the children to bed, but you can't make them sleep!
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Path: arc1-ca.pugleaf.net!sparky!uunet!news.tek.com!shaman!endeavor18!alanj From: alanj@endeavor18.tek.com (Alan Jeddeloh) Newsgroups: pnw.general Subject: Re: Health Care Insurance Reform Message-ID: <2592@shaman.wv.tek.com> Date: 28 Jan 93 18:00:51 GMT References: <1993Jan26.170516.3949@fylz.wa.com> Sender: news@shaman.wv.tek.com Distribution: pnw Organization: Tektronix, Inc. Lines: 42