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BW Readers Back Health Care ‘Public Option’ August 19, 2009

Posted by Charles Bosdet in Congress, Government, Great Moments in Lawmaking, Health, Health care, Health care reform, Insurance, Medicine.
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BusinessWeek posed the following question in a reader poll this week: “Should President Obama drop his proposal for a public health insurance plan to compete with private insurers as part of overall health care legislation?”

BW-poll-Public-Option-20090773 respondents as of August 19, 2009 21:46

Meanwhile, in Washington …

Anyone who carries health insurance should probably read an August 7 BusinessWeek article and note what’s going on in the Senate Finance Committee. Among other things, BusinessWeek reports in an informative 3,200-word article titled “The Health Insurers Have Already Won; How UnitedHealth and rival carriers, maneuvering behind the scenes in Washington, shaped health-care reform for their own benefit”:

A fundamental question about the health overhaul is what minimum standards will apply to the coverage all Americans will be required to have. … Senators stung by the projected $1 trillion price tag are winnowing down the required coverage levels to cut costs.

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This is good news for UnitedHealth, which benefits when patients pick up more of the tab. In late spring, the Finance Committee was assuming a 76% reimbursement rate on average, meaning consumers would be responsible for paying the remaining 24% of their medical bills, in addition to their insurance premiums. Stevens and his UnitedHealth colleagues urged a more industry-friendly ratio. Subsequently the committee reduced the reimbursement figure to 65%, suggesting a 35% contribution by consumers—more in line with what the big insurer wants. The final figures are still being debated.

(Emphasis added. This nugget is on page 5 of the Web story.)

Of course, legislation would apply the proposed 35% consumer contribution margin industry-wide.

MSNBC commentator Keith Olbermann notes helpfully that Nevada limits casino winnings to 25% and “New Jersey casinos take home no more than 17% by law.”

Veterans Administration Outperformed Other Health Care Systems, 2005 Analysis Found August 18, 2009

Posted by Charles Bosdet in Government health care, Health care, Health care results, Health care statistics, VA, Veterans Administration.
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Update: March 17, 2010 — Updated OECD data located here.

* * *

Updated September 29, 2009, to include Tables 1 (medical conditions examined) and 2 (quality indicators examined).

* * *

A popular mantra in the United States is that government-run health care would be a disaster because “it’s government.”

Setting aside the U.S. single-payer Medicare system, what if the U.S. government really did run a health care system top to bottom?  Surely that would be the greatest test of government performance?

Rummaging the data mines I was startled by a research summary I found at RAND Corporation, the research and policy think tank founded in Santa Monica, California, in 1948.

Researchers examined 294 quality measurements at the Veterans Health Administration, comparing patient medical records with those in a national sample. The result, RAND reported in a research bulletin, was that “VA patients were more likely to receive recommended care than patients in the national sample,” and with a better outcome.  In fact, the VA outperformed the national sample in all but one category of patient care delivery.

  • VA patients received about two-thirds of the care recommended by national standards, compared with about half in the national sample.
  • The greatest differences between the VA and the national sample were for indicators where the VA was actively measuring performance and for indicators related to those on which performance was measured.
  • Quality of care for acute conditions—a performance area the VA did not measure—was similar for the two populations.
  • VA patients received consistently better care across the board, including screening, diagnosis, treatment, and follow-up.
  • For preventive care, the difference was greater: VA patients received about 65 percent of recommended care, while patients in the national sample received 20 percent less.
  • Among chronic care patients, VA patients received about 70 percent of recommended care, compared with about 60 percent in the national sample.

(Bold emphasis added.)

I checked the researchers’ article in Annals of Internal Medicine against RAND’s summary of the results, and created the charts below from a table in RAND’s summary.  The charts clearly show the VA scoring higher in all categories except acute care (Chart 4), where the VA scored two points below the national sample.

Chart 1 VA Overall Performance

Chart 2 VA Leads Basic Care Services

Chart 3 VA Leads Specific Treatment CareChart 4 VA Leads Specific Treatment Care copy

Chart 5 VA Leads Targeted Untargeted Care

Medical Conditions and Quality Indicators Examined

Source: Annals of Internal Medicine

Source: Annals of Internal Medicine

VHA-Table-2-Indicators

Policy Question and Comment

If the question in America’s current health care debate is whether the federal government can run an effective national health care system, this study suggests the answer could be “yes.”

Anecdotally, I live in Canada, which has a “blended” universal health care system in which government seems to achieve the same overall results — or better — than the U.S. model. In the Canadian system the government covers about 70% of health care costs at about 10% of GDP, compared to the U.S. system, which reportedly covers 46% of costs at more than 16% of GDP (2009).  I’ve been reading and comparing data on the health care systems of the U.S., Canada and other OECD countries for a couple of months. That has been eye-opening for me, too. More on that later.

Sources

——. Improving Quality of Care; How the VA Outpaces Other Systems in Delivering Patient Care. RAND Health, Research Highlights, RB-9100, 2005.  Available at www.rand.org/health

Asch, Steven M., Elizabeth A. McGlynn, Mary M. Hogan, Rodney A. Hayward, Paul Shekelle, Lisa Rubenstein, Joan Keesey, John Adams, and Eve A. Kerr, “Comparison of Quality of Care for Patients in the Veterans Health Administration and Patients in a National Sample,” Annals of Internal Medicine, Vol. 141, No. 12, December 21, 2004.

Vacation Unleashes Six-Year-Old Artist August 1, 2009

Posted by Charles Bosdet in Art.
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Keith and Michelle Williamson had no idea their family vacation would inspire their six-year-old son to take up painting. Now young Kiernon Williamson’s work has caught the attention of British media and his first exhibition is scheduled near his home town of Holt, near England’s east coast.

The 6-year-old boys creations surprised his parents. This is one of ten watercolours displayed at The Daily Mail.

The six-year-old boy's creations surprised his parents. This is one of ten watercolours displayed at The Daily Mail.

According to London’s Daily Mail:

Experts have said that the six-year-old’s atmospheric paintings, which began with harbour scenes and expanded to include rural vistas, animal portraits and landmarks, have perspective, shadow and reflections that demonstrate an ability well beyond his years.

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