No one seriously believes that the current national health care system is without faults. It is ripe for improvement and possibly overhaul. Unfortunately the socialists in charge of the Executive and Legislative branches of our government are taking the lead and proposing the wrong solutions. I’m making the following proposals in the spirit of free markets and believe that these two relatively simple ideas can go a long way toward improving the current health care system. I don’t claim that these proposals are novel but I haven’t heard any similar proposals discussed recently. The dollar amounts in the proposal are admittedly somewhat arbitrary and worthy of discussion.
I believe that Health Savings Accounts (HSA’s) are one of the two key elements of health care overhaul.
o HSA holders can contribute, tax deferred, up to $20,000 per year. Accounting rules for 401(k) accounts would apply to HSA’s.
o The HSA can be invested as the owner sees fit, or left to accumulate in cash. Whatever investment vehicle is used must be readily converted to cash. Funds from the HSA can be used only for health-related purposes including health insurance premiums. Unused funds from any year carry over to the next year.
o The HSA is inheritable, and it would be taxed like a 401(k) at the death of the HSA holder.
o To get the program rolling, low-income taxpayers would have a seed of $2000 deposited in their account at the start of the program.
High-deductable health insurance is the other element.
o The government will establish minimum coverage requirements similar to what states require for automobile insurance coverage.
o This insurance can be obtained from a wide variety of insurance companies including from states other than the individual’s home state. Employers can elect to offer health insurance to employees and can keep their existing programs.
o Several levels of insurance will be available with higher premiums for lower deductibles or wider coverage.
o This insurance can be paid out of the health savings account or out-of-pocket. A tax credit of $2500/year for all taxpayers is instituted to help low-income people offset the cost of the insurance.
I believe that these proposals could go a long way toward improving our nation’s health care system. What do you think? Glen Zoerner gzoerner@yahoo.com
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Please contact your
Please contact your representative that opposes health care reform and ask of they are willing to give up their "Socialist", government run, very generous, health care that they all enjoy.
A tax credit is useless if you don't have the money to pay for the care in the first place.
1. Where are people that do not have health insurance go when they get sick? To the Very Expensive, ER.
2. Many of the people that oppose health care reform are hurting themselves and are either too stupid to realize it or so angry that President Obama won the election that they are going to oppose anything that he tries to do . STUPID.
If you have a good idea then talk about it, don't JUST SAY NO.
3. This I promise you, if health care is not reformed, the system will break down and we will be pumping billions oof dollars into health care. Last year the finacial industry, tomorrow the health care industry if we do not do something.
I admit I can't type or spell very well so I aplogize for that before some jerk responds that I need to learn how to write before posting.
Paul
Lino, that is probably the
Lino, that is probably the best and most astute comment I have read about the healthcare debate. What indeed do the insurance companies provide? Nothing.
Insurance is good for something that may or may not happen. You may or may not be in an accident. Your house may or may not burn down. You will get sick. You will get old. Healthcare needs are a certainty.
And for those of you that will immediatly cry "Socialists!!!" get your own roads paved; fight your own wars; hire your own private security guards; educate your own kids; and save for retirement.
Hi glen I read your essay on
Hi glen I read your essay on health benefits and the health savings accounts have much merit,but are not for everyone.I believe that the single payer health option, or the public option is much better for the majority of users, because it would be modeled after Medicare, which is a very successful program.It would gradually phase out the Insurance companies, which the only service they provide is the profits they make as the middle man in the health business. I would rather have the govt institute a non profit system where no one benefits or profits from the misfortune of others as the Insurance companies do.They provide no service to the patients, but keep health services expensive solely to make a profit, Lino Martinez 1
Hi Lino, Thanks for the
Hi Lino,
Thanks for the thoughtful reply. I offer that we agree to disagree. There is nothing wrong with profits. They are the engine for innovation. Whether that innovation is health care or building automobiles.
On a superficial level, I'll accept that Medicare is successful. However, it is unsustainable. What happens when it goes broke? The advantage of HSA's and high deductible health insurance is that the health consumer is in control. Further, direct payment for most treatments and drugs encourages health consumers to be prudent, careful shoppers. When we have to pay for goods or services out of our own pockets we tend to be careful. When the payments for service come from somewhere else, there is no incentive to use the service prudently.
The attitude that permeates our country is that health care is a right and the government must provide it. It sounds nice but it can't happen. It's simply too expensive. We must expolore alternatives that involve individual responsibility.
Glen