Action brewing on Healthcare Reform

When did $1,000,000 turn into $250,000?

That’s the difference in the threshold between being taxed more under the proposed senate bill. By driving down the threshold for new taxes, the Senate has been able to “save” $150 billion in the deficit. Who’s saving exactly?

Oh well, at least it’s not at the $50,000 income level.

At that level people remain in the middle of a no-man’s land where increases in insurance costs (which are imminent) will squeeze so hard eyes will bulge.

But, you can rest assured that you can buy a public option plan; unless your state opts out; and if you can afford it–rates are based on negotiations with providers, and we know how well the government negotiates for other things, like hammers for the army etc. This is not to say that insurance companies are any better. Check out “the wheelchair chronicles” for a dose of reality in health care reimbursement wonderland.

We do know that more insured Americans will be good for health care providers; hospitals and physicians could see stabilization of revenues under the plan.

However, what most health care providers are forgetting is that with the $130 billion cut they take directly, another huge cut is being taken out of Medicare Advantage. This payer cut will roll down hill, onto providers. The role of Medicare is important because that’s where the health care spend is, and will be ever more.

It’s going to be a very tricky 2010 as people gear up to face dwindling reimbursements in tandem with increasing utilization. We need technology and process improvements to hit the floor in hospitals NOW.

See this link if you’re interested.

Two final points:

1. Hang on to your wallet.
2. You may want to get into health care.

Be well!