The Daily Caller Social Experience

Let your friends help you discover the best news, features and videos on TheDC. Publish what you read and maintain full control.


 

A GOP playbook for the Blair House summit

  • • Create health exchanges: Similar to the Federal Employees Health Benefit Plan (FEHBP) and the Medicare Advantage and Prescription Drug Benefit, divide the country up into 10 regions. That way you could reflect local needs and would avoid the one-size-fits-all problem. Insurers could offer plans in one, more than one or all regions as is allowed in the FEHBP program and they would compete on price and quality. Open season and marketing standards could be enforced by HHS working with the states.

    • Change how we pay for care: Paying for care based on individual procedures promotes higher utilization. Everything has become a specific cost center. We must move away from this system of payment. What we need in its place is a system that pays for care based on a continuum of care. Doctors and hospitals would get a single payment to treat a patient, and that payment would cover whatever was needed to appropriately treat the patient. Payments would vary based on whether the illness was acute of chronic. Physicians would also receive payments to keep patients healthy. If the physician or hospital was able to treat the patient for less than the payments they could keep some percentage of the payment and return the remainder to the insurer (private or government). There are already several good ideas out there that would take us down this path—accountable care organizations and community health teams to name two.

    • Pay for quality/value: Today, providers of health care are paid per episode or visit regardless of the outcome of the event. We need to move toward a system that pays physicians and others based on the quality of the service provided and the efficiency of it. This means we’ll have to invest in comparative effectiveness research (CER). CER is not cost focused research and should not be used to determine what to cover based on cost. Sometimes the most expensive treatment is best, and sometimes not.

    • HIT: An HIT system for sharing information between physicians and other providers is essential to a modern health care system in order to reduce duplicative tests and avoid errors. Patients also need better access to information about treatments. That way everyone would know what the standard of care was. A well developed HIT system would also be necessary in order to know who was providing the standard of care and then to pay for it.

    • Phase in an individual mandate: Whatever you call it, if you are going to decouple health insurance from employers and reform the insurance marketplace, an individual mandate is necessary. Phase it in over the same time period the employer tax deduction is phased out. This way the tax revenue to pay for credits and deductions would rise with the mandate.

    • Insurance market reforms: There is already uniform agreement that we need to make changes to such things as pre-existing clauses and rescissions, limit premium variation, administrative simplification including standardized electronic claims processing and the like. The key to implementing these is that we need near universal coverage for them to work without increasing premiums.

    • Medical malpractice reform: There is no doubt we need reform in this area. While it is not as big a cost drive as many claim, the system is not just. Some get great rewards when harm is done, some do not, and some get great rewards when no harm is done. Medical courts are an interesting idea that should be explored as is arbitration. Both would be more equitable than our current system

    • Employer wellness: Create a tax credit for employers who provide their employees with a wellness program. Minimum eligibility standards would be necessary, but such standards have already begun to emerge. Employees spend at least eight hours a day working so why not use that time to encourage health and wellness. While still in its infancy, there are many examples of companies who offer programs that reduce their health care costs, while reducing absenteeism and boosting productivity.

      Medicare, Medicaid and SCHIP could all be folded into this system either entirely or simply as programs, but if done right there would be no need for individual systems to serve different demographic or income groups. The funding for these programs would follow them into this new system, but due to efficiencies costs should be more stable and predictable.

      These ideas are not meant to be all-inclusive and clearly much needs to be worked out. But these ideas would distinguish Republicans from Democrats and set the stage for a real debate over the best direction to move the country and our health care system.

      William Pierce is Senior Vice President for APCO Worldwide, Inc.

      1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
      Loading ... Loading ...

      STAY CONNECTED TO