Health Care in 2020

Kevin Glass
Posted: Mar 24, 2010 12:50 PM
Ron Bailey at Reason wrote down his thought-experiment of what's going to actually happen to the American health care sector in ten years. We'll have increased coverage, he says, but at what price?

Since 2010, insurance companies had been turned essentially into public utilities with the feds setting strict minimum benefits requirements. The health reform bill also limited the administrative costs of insurers, which has ended up basically guaranteeing their profits. With competition all but outlawed, the increasingly consolidated insurance industry has had very little incentive to pay for new treatment regimens outside those specified by government standard-setting agencies. Federal government health agencies have been reluctant to authorize newer treatments because they often lead to higher insurance premiums that then must be subsidized by higher taxes.

Read the whole thing.