Health Care Insurance Mess Or Disaster, You Decide

The average cost for a family health care insurance policy in 2011 hit the $15,000 mark according to Kaiser, the nonprofit corporation that collects the data about employer supported health insurance. This is a 9% jump just in 2011. The New York Times reports that the growth of insurance premiums has put some noticeable difference between premiums and paychecks and causing a snowball effect that is having a very negative effect on middle class America. To justify these ridiculous increases, the insurance companies spew out rhetoric about how their resources will take a good hit when the economy rebounds from the current recession, but the real data tells a different story. The real facts show that demand for health care is down as are the health insurance claims simple because people are only receiving only the most necessary treatments and less elective and preventive care.

The rising cost of premiums has also spurred a trend in requiring employees to shoulder a higher portion of the cost of health care. This double blow results in high-deductible policies coupled with higher co-pays. From 5.2% of the gross national product (GNP) in 1960, the proportion of income Americans pay for health care has risen at an alarming rate. At present, health care costs 17% of the US GNP.

Warren Buffet, the Wall Street financial Guru has publicly ask the Congress to bring the cost of health care under control, comparing it to a tapeworm that is feasting on the American economic body according to the Reuters News Service. Health Care Savings account plans is giving some relief, but it isn't enough to give a much needed boost to the economy or the middle class who's pockets and savings are emptying fast. These savings plans were designed to help pay for medical care costs by being pre-taxed accounts, but even that is only putting a band aid on an severe gash a.k.a. as the inefficient American system. The sad fact is that much of the money spend on care is funneled to the administrative and advertising sectors and actually contribute nothing to improve the quality of practicing medicine.

When compared to other developed and industrialized nations, the United States has the highest health care costs while they poorly compare to these same nations is quality measurements like life expectancy and infant mortality. Experts insist that this is due largely to the coverage gap and the results are fewer preventive treatments. The less economic resources a person or family has at their disposal the less they can pay for quality care except in emergency situations and the health issues can no longer be ignored. This also drives up the cost of medical care for everyone.

The higher cost of providing for people with more serious medical conditions, coupled with the inefficiency that results from high administrative costs, plagues the American health care system and results in a huge drain on the economy.