Health Care Part II: cost of Containment

Why are health care costs increasing at double digit levels? If these costs could be constrained, it would make revamping the system so much easier. Some clues can be obtained from some news items: In several states doctors have moved out of high risk specialties (such as Obstetrics) citing lack of malpractice insurance or unaffordable insurance. Local news indicates that some doctors have opted out of the medicaid/medicare business refusing to accept those patients because of the burreaucracy involved as well as the lack of payment for services rendered.

Here are some ideas to bring costs back to reasonable levels:
1) Malpractice insurance and liability costs have become unbearable. The government can set award levels for various infractions (that is, basically setting the value for a human life). If the upside risks were known, insurance availablilty should increase and affordability result
2) Costs of administration absorb increasingly higher percentages of health care costs. Every doctor's office has at least one if not two workers whose only job is to interface with the insurance companies to get payment. This adds nothing to the level of care and only increases the cost. An area for considerable improvement.
3) It is a particularly galling situation when those who can least afford it (the uninsured) end up paying full fare upon receipt of services rendered for a doctor's visit while those on insurance pay only a co-payment, the doctor gets only a discounted portion and then perhaps not for 60-90 days. The uninsured pay the full $70 while the doctor ends up with a $10 copayment and $40 from the insurance company or $50 for the insured. A cash discoounted should be in place . . . that is, if the actual cash value of a $70 office visit if $50 insured, the uninsured paying cash on demand should need only pay $50 or perhaps $45 with discount.
4) Emergency wards have become the doctor offices for the uninsured . . . an earache or sore throat. It is estimated that upwards of 50% of emergency visits are not emergencies. By providing alternate facilties, this would put the emergency back into the emergency ward.
5) Cost of prescriptions and drugs. A major part of the costs of drugs come from companies attempting to recover the development costs and and hundreds of millions of dollars in FDA approval process. Certainly this can be cut. Stronger IPR protection overseas would allow profits which would cut costs domestically. Protection should be from time of approval not from time of patent.
6) Another area of concern and shame is in the field of drug testing. This is particularly guiling for those patients who could benefit from drugs in testing but not released. Those terminal have nothing to lose by being given the preliminary drugs. If they sign off on any liability, there should not be any downside to such a policy to give them the drugs. WHo knows perhaps it would be a win-win situation for both parties.
7) Another area that incurs costs is the tendency for hospitals to invest in every new technological gadget that comes out as a competitive vehicle. Whether it is used once a week or every day, it is available but cost prohibitive. A sharing of such equipment among local hospitals would make better financial sense.

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