Another Bailout

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I have mentioned before that insurance companies who are losing money on the exchange are positioning themselves to be bailed out by taxpayers.  Well, remember those health co-ops that were part of the ACA? These were “supported by federal loans, for the creation of nonprofit consumer-governed co-ops to compete with more established health insurance players like the various Blue Cross/Blue Shield organizations as well as giant firms like United Healthcare.
The idea was that the co-ops could provide a lower-cost alternative for people needing insurance coverage.” In NY, the patients paid too little into the co-ops and they burned though the money.  Free or almost free isn’t always a good thing. Most co-ops around the country, just like NY, are going belly up. Well, they leave baggage when they do that.   It turns out that someone needs to pay for the unpaid doctor and hospital bills remaining. In NY, there is more than $200 million left outstanding. The New York State government is trying to figure this out but we all know what is going to happen.  Can you say another bailout?  It may not save the co-ops but it will pay people back.  Another nice side effect of Obamacare.  Isn’t it time we found a better way?

 

Douglas Farrago MD

Douglas Farrago MD is a full-time practicing family doc in Forest, Va. He started Forest Direct Primary Care where he takes no insurance and bills patients a monthly fee. He is board certified in the specialty of Family Practice. He is the inventor of a product called the Knee Saver which is currently in the Baseball Hall of Fame. The Knee Saver and its knock-offs are worn by many major league baseball catchers. He is also the inventor of the CryoHelmet used by athletes for head injuries as well as migraine sufferers. Dr. Farrago is the author of four books, two of which are the top two most popular DPC books. From 2001 – 2011, Dr. Farrago was the editor and creator of the Placebo Journal which ran for 10 full years. Described as the Mad Magazine for doctors, he and the Placebo Journal were featured in the Washington Post, US News and World Report, the AP, and the NY Times. Dr. Farrago is also the editor of the blog Authentic Medicine which was born out of concern about where the direction of healthcare is heading and the belief that the wrong people are in charge. This blog has been going daily for more than 15 years Article about Dr. Farrago in Doximity Email Dr. Farrago – [email protected] 

  2 comments for “Another Bailout

  1. Steve O'
    January 11, 2016 at 8:46 am

    Pimpin’ for the Homies…

    CMS has a prepackaged handout for doctors on how to sell health insurance! We just don’t know what to do with our spare time when we see patients, I suppose. Forty years of being blamed for the healthcare mess, fifteen years of being accused of killing hospital patients, and they unload this….

    “How New Yorkers Can Access Affordable, Comprehensive Health Insurance

    Patients trust their doctors. Polls show that when the public is asked which professions rate highest on honesty and ethical standards, physicians appear towards the top of the list. So when patients have questions about health insurance, they’re likely to ask their physician for advice on picking the plan that best suits their needs.

    As a recognized Champion of Coverage, the American College of Physicians has agreed to provide unbiased and understandable resources to its physician members on ways you can help your patients obtain coverage through the Affordable Care Act (ACA). This guide provides specific information for New York internists and patients on the resources that are available to them.

    The ACA will make health insurance more affordable by providing health insurance tax credits and cost-sharing to the uninsured, underinsured, and small businesses; creating health insurance marketplaces to make shopping for health insurance easier; and implementing insurance reforms to make the market more accessible, predictable, and fair. In many states, the Medicaid program will be expanded to serve more people and health insurers in all states will no longer be able to deny insurance to those with pre-existing conditions.

    According to the Institute of Medicine, being uninsured poses a hazard to one’s health. Adults without health insurance are less likely to receive clinical preventive services that can reduce the likelihood of developing serious illness. Those with chronic disease are more likely than the insured to forego necessary therapies. Uninsured adults are also more likely to die from serious acute conditions than those with insurance. Lack of health insurance also takes a financial toll, as 60% of all bankruptcies are connected to the cost of medical care. “

    Being aware of the obvious doesn’t mean that one is acting to fix the problem. (from http://www.healthbenefitexchange.ny.gov/) A “Champion for Coverage” is a prepackaged healthcare bundle put out by CMS, and anyone can join! It means you can peddle the party line without having to spend time understanding it – just sell it!

    • Pat
      January 11, 2016 at 9:33 am

      The first line is the biggest lie of all: patients trust their doctors. That’s why they have awarded all the power over docs to the government and lawyers.

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