Thursday, March 26, 2009

Costs of having a poor health care delivery system

If was always curious as why if we spend more on medical treatment, yet have lower statistics for things like infant mortality and life expectency than some third world countries. The answer must be that these poor standings in the commonly used benchmarks for quality of health care are created by the our people who do not receive medical treatment. I don't think our doctors, nurses and hospitals are worst than Cuba. Untreated medical conditions cause a a variety of other medical conditions. They also cause a serious loss in time from work, reduced productivity on the job and shorten life expectancy. There the economic consequences of failing to have a medical care system that provides treatment to all the people. It is not a matter of "do goodism". It is just good business. The economic losses of the uneven distribution of our medical care it cause more economic damage than the current business crisis.
In addition to causing loss of productivity our current system by forcing our uninsured into emergency rooms without full compensation to the hospitals for the cost increases the insurance cost to the insured. There is no such thing as a free lunch. Assuming the uninsured could afford insurance, but chose not to and gambling that they would not get sick, passes the losing side of that bet to the prudent ones who secured health insurance. If you are wondering why your health premiums are going up, paying for the health care to the uninsured is a major reason. This is insane. Once we make the decision that we are not going to let the uninsured die in the street, then we must decide what is the most effectively provide treatment and how to pay for it. Emergency rooms are not a cost effective way to provide medical care except in an emergency. Forcing the insured to pay for treatment of the uninsured does not strike me as fair. For responsible businesses to pay for treatment of the uninsured causes our industries to be at a competitive disadvantage to industries in other countries who are not saddled with this costs.

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