Yes, Conservatives Believe in Health Care Reform, Too. But It Doesn’t Look Like Obamacare.

I return to the idea propounded by my favorite left-wing blogger (see “The Song of the Uninsured Musician“) that free-market conservatives have offered no alternatives to the dysfunctional status quo or to leftist solutions such as Obamacare or universal care. I offered a fairly detailed analysis in my book, “Boomergeddon,” that describes a path to market-driven health reform, but who am I? I don’t have a Ph.D. or M.D. at the end of my name.

But Scott W. Atlas, M.D., does. This senior fellow at the Hoover Institution and editor of “Reforming America’s Health Care System,” lays out a broad brush-stroke approach to health reform that comes tantalizingly close to my own prescriptions. Hoover has run an excerpt from his book on its website, which you can read here. Here are Atlas’ remedies:

(1) Increase competition in health care insurance by allowing cross-state purchasing so people can shop at competitive prices in a national market “for the insurance they actually want to buy,” not the insurance their employer wants to offer. Government can cut the price of insurance by breaking down anti-competitive barriers “that result in shocking variations on the order of several multiples” among states in prices for equivalent coverage.

One specific measure: Allow small businesses to band together in trade associations to purchase coverage for their employees. If regulated by the Employee Retirement Income Security Act of 1974 (ERISA), these associations would be exempt from state insurance mandates and regulations. Which brings us to…

(2) Put an end to state insurance coverage mandates. “How about letting patients themselves decide what kind of coverage and benefits they want for their families?”

(3) Force transparency on the system so Americans can make informed value-conscious decisions on the basis of the price and quality of their providers. Writes Atlas: “The lack of patient demand for price information has allowed hospitals and doctors to cloak their price structure in a shroud of mystery and avoid public view. A powerful role of the government could be to require posting of prices for medical procedures and services, as well as qualifications of doctors. Information is power, and price visibility is essential to induce competition.”

(One of the few legitimate goals of government: Creating conditions like price transparency that allow markets to function properly.)

(4) Expand consumer choice by increasing, instead of restricting, the availability of insurance, and simplifying, rather than complicating, the rules and regulations of lower-cost plans. Why not permit people to buy high-deductible plans for catastrophic coverage with health savings accounts?

(5) Make health insurance portable. Why should health insurance be tied to one’s employment? “The essential portability of insurance — truly owned and designed by American consumers — eliminates the fear of job loss and exposure to financial disaster by loss of coverage and creates a huge new group of value-seeking shoppers for insurance.” While you’re at it, change Medicare and Medicaid to voucher programs.

(6) Fix the medical liability system. Defensive medicine accounts for up to 6% of total health care costs.

Badda boom! Badda bing!


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