Commonwealth Foundation RSS »Tuesday, October 10, 2006
Health Care Reform
Reform in health care should follow a few key principles:
- Seek reforms that give individuals and employers more choices in health care. Give them independence in choosing health care options, and do not make more people dependent on government programs.
- Give individuals the same tax benefits for purchasing health insurance as businesses. Employer health care plans are tax free, but individuals purchasing plans on their own must do so from their post-tax income.
- Allow individuals and small businesses to pool resources when purchasing health insurance plans in order to have the options and cost savings available to large companies.
- Reduce the cost of care and coverage through tort reform. Joint and several reform should be passed and lawsuit awards for non-economic damages should be limited.
- Reduce regulations and mandated coverage that drive up the cost of insurance.
- Encourage Health Savings Accounts through tax policy. Move government plans (Medicaid and state employee plans) toward the Health Savings Account Model.
- Allow consumers to buy out-of-state insurance.
- Encourage competition among health care providers by requiring providers to show their “sticker price” to consumers before they receive care.
- Do not create inefficient bureaucracies by expanding government health care programs.
- Do not resort to mandates on individuals or businesses to purchase health insurance.
- Do not expand the role of government officials to set health care prices by making taxpayer financed programs, not individuals, the primary payer for health care.
- Above all, do no harm by crowding out private options with government programs.
