H.R. 3590 as passed by the Congress and signed into law by the President, does little or nothing to reduce the escalating cost of healthcare. While I believe real reform is needed, the new law takes control from the individual and places the federal government in our doctors’ offices and in our medicine cabinets. Even the safety net that the government currently provides should be changed to give low income Medicaid recipients the opportunity to be participating consumers instead of simply being recipients.

Utilization

50% of the increase in healthcare costs over the past twelve years has been as a result of utilization. Technological advances in healthcare, medical procedures, pharmaceuticals, defensive medicine, life expectancy and minimal consequences for over-utilization are responsible for the greatest increase in healthcare costs, not insurance companies. Until we recognize these facts and begin addressing them going forward, there is no hope of having reasonable, meaningful healthcare reform in our country.

Things that we can do to control, or in some cases, even reduce costs are as follows:

• Price Transparency
  It is imperative that we empower patients with the information necessary for them to become savvy consumers of health care goods & services.
  
  
• Consumer Engaged Healthcare
  Healthcare customers must become consumers. When customers participate in the costs, they will become more aware of those costs. That is one reason why many elective procedures have had no cost increases over the past ten years, while healthcare costs in general have been increasing at twice the rate of inflation. When consumers participate in the cost, free market principles work.
  
  
• Medicaid Vouchers
  Replace Medicaid for low income Americans with subsidized medical vouchers that can be used to purchase the healthcare they desire. The amount provided would be graduated based on means, allowing those who currently receive Medicaid to become consumers by choosing and purchasing their own health care plan. It currently costs Medicaid recipients more to go into the drugstore and purchase an over-the-counter medication than to seek treatment in the emergency room. Until this changes, costs will never be reduced.
  
  
• Eliminate Anti-Trust Legislation
  Open up insurance markets to allow citizens to purchase their healthcare across state lines and allow increased competition to drive down prices.
  
  
• Pre-Existing Conditions
  High risk pools for the uninsured with pre-existing conditions, in conjunction with means tested medical vouchers, would more effectively address the issue than a new federal mandate on insurance companies. Health insurance companies should also be able to reward customers for lifestyle related conditions.
  
  
• Medical Malpractice Reform
  We must enact meaningful medical malpractice reform to combat the practice of doctors over-treating and overprescribing patients for fear of legal retribution. Malpractice insurance in some states reaches $200,000 per year, which results in physicians charging more for their services just to cover malpractice insurance premiums.