Both the folks at the InterGalacticJester (some of them from MA) and CharlieHall have mentioned the new plan in Massachusetts to provide Universal Health Care to all the people in the state. This plan differs from many other UHC plans around the globe, though I haven't yet found enough details to see how this would work. But one strong part of the plan is clear: They are making it a law to have health insurance, just as it is a law to have car insurance if you have a car.
The plan is supported overwhelmingly by both Democrats and Republicans, and it's nice to see that one point many on both sides are making is that this is very much meant to teach "personal responsibility". From the little I have found on it, it seems to do just that, so while I'm holding off on thinking this is wonderful, the basic idea sounds pretty good to me. Now let's see how this holds up cost-wise in a state which is notoriously terrible about utilization of its monies, according to a commenter at the IGJ.
What do you think? (Especially you!)
If you make health insurance mandatory for all you will increase the demand for health insurance. That would push the cost up wouldn't it?
ReplyDeleteRight now when the uninsured go to the emergency room and can't pay, those visits are covered by those who do pay. (OK maybe that's largely the insurance companies. But part of the cost of a hospital visit is covering the costs of those who can't afford the care.)
So say someone can't afford health insurance. Then the state will somehow pay it for him. The money for that will come from higher taxes.
To me it seems like the bill would just shift the costs from the hospital to the state. And those who can afford the costs (hospital charges or taxes) will cover those who can't.
Part of the point is to get people to pay as much as they actually can pay, without having people constantly making hospitals pay even though they can afford insurance (but not treatment). To that extent, it cuts the costs.
ReplyDeletethe problem is that just as there are people who don't get auto uninsurance and still drive (in Maryland you have to pay extra for uninsured motorist coverage) you will have people who won't buy health insurance. And the hospital fees will still have to cover them. I really think that this just a matter of shifting costs than accomplishing anything.
ReplyDeleteYes, but those people will get fined - and it's easier to catch than someone driving without insurance, which requires that they be caught doing something wrong.
ReplyDeleteAgain, I need more details on this, but it seems pretty decent.
'If you make health insurance mandatory for all you will increase the demand for health insurance. That would push the cost up wouldn't it?'
ReplyDeleteNope. It will reduce the costs because those who have insurance won't have to cover the freeloaders who don't have insurance.
'And those who can afford the costs (hospital charges or taxes) will cover those who can't'
That is precisely the problem with the CURRENT system!
My opinion is that it is a big step in the right direction. It is not a cure-all for all the problems facing the health care system, though.