US health care system costs 4X more than Canada’s M4A

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  • #111471
    Avatar photoBilly_T
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    New Study. Not getting much attention, but it obviously should be shouted from the rooftops, especially by the Dem candidates:

    New M4A cost comparison

    Excerpt:


    American health care system costs four times more than Canada’s single-payer system
    Average Americans pay $2,497 a year for insurance overhead and admin costs, while Canadians pay just $551

    FEBRUARY 15, 2020 3:00PM (UTC)
    The cost of administering health care in the United States costs four times as much as it does in Canada, which has had a single-payer system for nearly 60 years, according to a new study.

    The average American pays a whopping $2,497 per year in administrative costs — which fund insurer overhead and salaries of administrative workers as well as executive pay packages and growing profits — compared to $551 per person per year in Canada, according to a study published in the Annals of Internal Medicine last month. The study estimated that cutting administrative costs to Canadian levels could save more than $600 billion per year.

    The data contradicts claims by opponents of single-payer health care systems, who have argued that private programs are more efficient than government-run health care. The debate over the feasibility of a single-payer health care has dominated the Democratic presidential race, where candidates like Sen. Bernie Sanders, I-Vt., and Sen. Elizabeth Warren, D-Mass., advocate for a system similar to Canada’s while moderates like former Vice President Joe Biden and former South Bend, Indiana Mayor Pete Buttigieg have warned against scrapping private health care plans entirely.

    Canada had administrative costs similar to those in the United States before it switched to a single-payer system in 1962, according to the study’s authors, who are researchers at Harvard Medical School, the City University of New York at Hunter College, and the University of Ottawa. But by 1999, administrative costs accounted for 31% of American health care expenses, compared to less than 17% in Canada.

    The costs have continued to increase since 1999. The study found that American insurers and care providers spent a total of $812 billion on administrative costs in 2017, more than 34% of all health care costs that year. The largest contributor to the massive price tag was insurance overhead costs, which totaled more than $275 billion in 2017.

    #111967
    Avatar photozn
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    #112094
    Avatar photowv
    Participant

    Italy:https://internationalliving.com/countries/italy/health-care-in-italy/

    Overview of Italian Healthcare

    Italy ranks among the World Health Organization’s top 10 countries for quality health services (by contrast, the U.S. only holds 37th place, despite being the highest spender). However, although medical facilities are considered to be adequate for any emergencies, some public hospitals are reportedly overcrowded and under-funded.

    Of course, you don’t have to rely solely on public health facilities. Like many Italians, you can avail of the parallel private medical service—known as the assicurazione sulla salute—that caters for patients covered by private medical insurance.

    However, in some small towns, particularly in the south, you will only be able to access the public health system—private doctors and hospitals congregate in bigger cities where residents are more likely to have private medical insurance.

    According to rankings, the best medical care, especially in an emergency situation, is likely to be found in the northern hospitals in cities like Milan and in central Italy near or in Rome. Reportedly, English-speaking doctors are particularly easy to come by in Rome and Milan as well.
    Italian Health Insurance

    Italy has a national health plan (Servizio Sanitario Nazionale), which provides for hospital and medical benefits. In Italy, healthcare is considered a right and the national health plan is designed to provide for all Italian citizens and residents, including U.S. and Canadian citizens who are legal residents of Italy.

    With the Servizio Sanitario Nazionale most care is free or low-cost, including consults with a general physician, hospital visits, lab work, and medications. However, each region is responsible for managing its own care, so expect differences between regions and carefully research the specific region you want to retire in.
    Healthcare Costs in Italy

    Though costs vary based on a number of factors including region and whether you have private insurance or not, expats report costs as reasonable. One expat couple based in the south reports paying just $236 per year to cover their health insurance. And hospital visits are reportedly free in urgent cases. In non-urgent cases, a small co-pay may be expected.
    Pharmacies and Medication

    For over-the-counter medications in Italy, you’ll need to visit a pharmacy. These are standalone shops and unlike in the US, you won’t find them in grocery stores. Look for the large green cross (often lit up) and you’ll find your nearest pharmacy. Pharmacists in Italy are used to consulting with patients, so if you aren’t sure what kind of medication you need or what the equivalent of an American brand is here in Italy, ask the pharmacist. In general, you’ll find many of them speak English very well.

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    #112116
    Avatar photozn
    Moderator

    20 leading economists just signed a letter arguing Medicare for All would generate massive savings for American families

    https://www.yahoo.com/news/20-leading-economists-just-signed-191514939.html

    Twenty of the nation’s leading economists argued in favor of Medicare for All in an open letter that Business Insider first published on Tuesday.

    They argue that existing research suggests there would be massive savings and it would reduce waste in healthcare.

    “There’s been too much loose talk that Medicare for All is unaffordable. What’s really unaffordable is the current system,” signatory Gerald Friedman said in an interview.

    Twenty of the nation’s leading economists argued in support of Medicare for All in an open letter first published by Business Insider on Tuesday.

    “We believe the available research supports the conclusion that a program of Medicare for All (M4A) could be considerably less expensive than the current system, reducing waste and profiteering inherent in the current system, and could be financed in a way to ensure significant financial savings for the vast majority of American households,” the economists wrote in the open letter.

    “Most important, Medicare for All will reduce morbidity and save tens of thousands of lives each year,” the group of economists said.

    The letter was provided by Business for Medicare for All, an advocacy group pressing for universal healthcare in the US.

    The economists aren’t coming out in favor of a specific candidate, though some have individually consulted with Democratic presidential campaigns (at least one has endorsed Sen. Bernie Sanders).

    Instead, they’re making the case that a government-run health insurance system would slash wasteful spending and generate massive savings for most Americans.

    Dr. Gerald Friedman, a professor at the University of Massachussetts Amherst, told Business Insider that the best argument for a universal healthcare system is its potential ability to rein in the skyrocketing costs of healthcare.

    “There’s been too much loose talk that Medicare for All is unaffordable,” Friedman said. “What’s really unaffordable is the current system. We spend about twice the average for affluent countries in the OECD on healthcare,” referring to the Organization of Economic Cooperation and Development.

    Friedman also noted that increased spending often leads to worse health outcomes compared to other developed nations.

    Among the letter’s signatories are prominent progressive economists like former Labor secretary Robert Reich; Jeffrey Sachs, a leading expert on poverty; Gabriel Zucman and Emmanuel Saez, two professors at the University of California, Berkeley, who laid out plans for a wealth tax; and Darrick Hamilton, a professor of economics at the Ohio State University and a pioneer in economic inequality research.

    Medicare for All is the signature plan of Sen. Bernie Sanders, the remaining progressive candidate in the Democratic primary. It would set up a new government health insurance system that provides comprehensive benefits to Americans and toss out deductibles, co-pays, and out-of-pocket spending. Private insurance would be eliminated as well.

    Estimates for a system that ensures benefits on the scale Sanders is seeking is upwards of $30 trillion over 10 years. A recent study from the Economic Policy Institute, a left-leaning organization, suggested it could increase the wages of workers and boost the development of small businesses.

    The proposal turned into an ideological faultline in the primary, dividing moderates like former Vice President Joe Biden who sought incremental measures to expand coverage and progressives such as Sanders calling to replace the existing system with something entirely new.

    In addition to Sanders, Sen. Elizabeth Warren also rolled out a plan to achieve universal healthcare within four years before dropping out of the race.

    Skeptics of Medicare for All argue it’s a progressive pipe dream that won’t be achieved anytime soon. They note it’d be an enormous lift politically even among Democrats, most of whom don’t support the idea, The New York Times reported.

    An ongoing poll from the Kaiser Family Foundation found that while a slim majority of the public supports Medicare for All, backing flips when respondents learn they could lose their private health insurance or pay more in taxes.

    The economists in the letter, though, say that “shifting the burden” onto taxation of wealthier households would “magnify savings.”

    “A system that cuts costs and shifts financing to income and wealth taxes will dramatically lower this burden, producing significant savings for workers and businesses,” they write.

    #112295
    Avatar photozn
    Moderator

    Briahna Joy Gray@briebriejoy
    Regretfully, Joe Biden’s healthcare plan discriminates against those too poor to pay. It leaves 10 million Americans behind, & will result in 125k unnecessary deaths over 10 years.

    Either healthcare is a human right, or it isn’t.

    #MedicareForAll
    #Bernie2020
    #LeaveNoonebehind https://twitter.com/JoeBiden/status/1238957075637497856

    #112999
    Avatar photozn
    Moderator

    Benjamin Dixon@BenjaminPDixon
    You have zero excuse for supporting a candidate who opposes Medicare for All at this point.

    3.3 million people just lost their “if you like your employer benefits you can keep them” benefits.

    Healthcare can never again be tied to employment.

    #113134
    Avatar photozn
    Moderator

    BERNIE SANDERS’ MEDICARE FOR ALL POLICY WOULD LIKELY INCREASE WAGES AND CREATE JOBS, NEW ECONOMIC ANALYSIS SHOWS

    https://www.newsweek.com/bernie-sanders-medicare-all-would-likely-increase-wages-create-jobs-new-economic-analysis-shows-1490800

    A new analysis of the economic impact of a Medicare for All health care reform, like the signature policy proposal of Democratic presidential candidate Bernie Sanders, suggests that such a plan would not only increase wages for workers but also create additional jobs.

    Sanders, a progressive senator from Vermont who is currently a close second to former Vice President Joe Biden, the Democratic frontrunner, has long advocated for a universal or single-payer health care system. Critics argue that such a policy would lead to mass job loss and be an economic drain on the country, but the new analysis published Thursday by the Economic Policy Institute (EPI) suggests the opposite would happen.

    Josh Bivens, EPI’s director who conducted the study, wrote in the report that Medicare for All “would be unambiguously positive” for the labor market in the U.S., leading to a “boost in wages and salaries” as well as an “increase in job quality, while producing “a net increase in jobs.”

    Although the analysis notes that policymakers should not “ignore the distress caused by job transitions” due to such a health care reform, Bivens wrote that job losses during a transitional period would be “relatively small.”

    B

    Study: Big Pharma Companies Earn More Profits Than Most Other Industries

    “Despite the fact that M4A [Medicare for All] could deliver these large benefits to efficient labor market functioning, the policy often comes under fire from critics making highly exaggerated claims about the potential job loss that could occur under such a reform,” Bivens noted.

    “The grain of truth in some of the claims is that, like any productivity improvement, the adoption of a reform like M4A would require the redeployment of workers from one sector (the health insurance and medical billing complex) to other sectors (mostly the delivery of health care),” he wrote. “But there is little in the M4A-induced redeployment of workers that would greatly stress the American labor market over and above the uncertainty and churn that characterizes this labor market every year.”

    Wendell Potter, a former health insurance vice president who left the industry and now advocates for health care reform, told Newsweek that the analysis undermines a key argument the private insurance industry uses to push back against Medicare for all.

    “It’s a dark day for my old pals in the insurance industry because one of their few arguments for keeping the current system placing profits over care, is gone,” Potter said. “On top of the obvious medical benefits, America’s jobs outlook will improve under Medicare for All. The data proves it.”

    Critics of Medicare for All, which was also endorsed by Senator Elizabeth Warren of Massachusetts, a former Democratic presidential candidate who suspended her presidential campaign on Thursday, have also repeatedly questioned how such a plan would be paid for. They’ve argued that it would be far too expensive and become a major drain on the federal budget.

    But a study by researchers at Yale University, the University of Florida and the University of Maryland published in mid-February found that universal health care would actually save about $450 billion per year in health care costs. Additionally, it projected that a Medicare for All system would prevent at least 60,000 unnecessary deaths every year, as tens of millions of uninsured Americans would receive full health coverage under the system.

    “Our study is actually conservative because it doesn’t factor in the lives saved among underinsured Americans—which includes anyone who nominally has insurance but has postponed or foregone care because they couldn’t afford the copays and deductibles,” Alison Galvani, an author of that study, who is a researcher at the Center for Infectious Disease Modeling and Analysis at the Yale School of Public Health, told Newsweek last month.

    Most Democratic voters appear to support a transition away from private insurance toward a universal health care system, according to exit polls conducted in the 18 states to have held primaries and caucuses so far in this election cycle. A plurality of Democratic voters in all the states to have voted thus far have backed the idea of government insurance, while majorities of voters backed the policy idea in 16 states.

    Biden supports more modest health care reform. The former vice president has advocated for expanding the Affordable Care Act (ACA), known commonly as Obamacare, by making a Medicare buy-in option available to some Americans. His plan would allow private insurance to continue to compete alongside the government-run system.

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