Everyone is entitled to his own opinion, but not his own facts.
Daniel Patrick Moynihan
You see, here is where your true ignorance is exposed. Medicare and private insurance companies use the SAME care providers. The SAME doctors, the SAME hospitals. But Medicare does it more efficiently than for profit cartels.
Medicare operates as a single-payer health care system with administrative costs of just 4 percent to 6 percent compared with for-profit health insurance administrative costs of between 16 percent and 26.5 percent. In a "Medicare for All" program, administrative savings would amount to about $400 billion each year by eliminating unnecessary paperwork and bureaucracy. That's enough to provide high-quality health care for every American and end co-pays and deductibles. Americans could go to any provider they wished to see. And, as with Medicare, the majority of health providers and hospitals would remain private and could receive fair reimbursements for their services.
AND, not only is Medicare MUCH more cost efficient, Medicare treats the elderly exclusively, and since they typically have more health problems than the general population, comparing costs per beneficiary is misleading and therefore percentage comparisons are more reliable.
Universal vs. Private Health Insurance
There is one factor common to the
top 15 countries on the above list. They
all have strong state funding of single-payer universal health care, instead of insurance based health care tied to employment.
The bottom four
countries – Germany,
USA, Portugal and Switzerland –
all depend more heavily on profit-based, private health insurance provided primarily through the employer/employee relationship.
Our private insurance industry was in no hurry to insure seniors before Medicare started. They are in no hurry now. Medicare revolutionized health care access for seniors.
Why is Medicare expensive? Simply, health care for seniors will always cost more than that of healthier, younger Americans. And costs are rising in every health care system around the world, not just Medicare. The United States is doubly cursed because our costs are rising faster and are already twice as expensive as other countries. Though hard to believe,
Medicare is a leader in fighting cost increases. Private insurance industry costs are rising nearly twice as fast as those of Medicare. And when it comes to administrative expenses, private insurance is 10 times higher than Medicare. In fact, if the single payer financing of Medicare were applied to citizens of all ages, we would save $350 billion annually, more than enough to provide comprehensive health care to every American.
Medicare is good for our seniors and good for our country. It provides health care far more affordably and efficiently than our private insurance industry. It saves our country hundreds of billions of dollars in administrative overhead. And if we expand Medicare to cover younger, healthier Americans, we would all get more care at less cost.
Medicare: Celebrate it, protect it, improve it, and expand it. We need more Medicare, not less.
Portland physician Samuel Metz is a member of Physicians for a National Health Program and a founding member of Mad As Hell Doctors.