If the American economy is to recover, businesses and the federal government must rein in the soaring costs of health care and medical insurance.
The cost of medical insurance for businesses large and small has increased faster than the rate of inflation every year for decades.
Businesses that manage to continue to provide medical insurance for employees pull rabbits out of hats every year when the rates go up. They pass on higher costs to employees or constrain care and drug options to bring costs into line with what the businesses can afford.
The mounting cost for families puts them at risk of financial collapse—even when they have health insurance—if a family member develops a serious medical condition. The problem these days is not whether an individual has health insurance—it's whether it's enough.
To make matters worse, businesses are running out of rabbits. It's likely that the nation's businesses, buffeted by the plunging economy, will find it necessary to end health insurance coverage for employees.
The national discussion about the high cost of health insurance failed in the 1990s when Hillary Clinton tried to fashion a national health care plan. The fact that other developed nations had lower costs and citizens in better health didn't sway Americans engrossed in high living, intoxicated by a dangerously unfettered economy, and worshiping the god of "free" markets.
With the joyride over, confidence in the private sector shaken and an economic hangover setting in, it's a good time to sober up and address medical costs.
We could start by figuring out how it is that every U.S. senator, congressman and federal employee can get gold-plated medical insurance with low out-of-pocket limits—$5,000 per person—with preferred medical providers. It's nearly impossible for small business to offer similar affordable coverage to employees—short of taking up bank robbery or drug dealing.
The insurance industry knows that President Obama wants to address health-care costs. It recently did an about-face when major insurers announced that they would help craft a universal coverage plan if Congress required that all adults carry health insurance—just as they are required to carry car insurance. The industry is suddenly paying attention.
Idaho's economy is sustained largely by small businesses. With just 62 percent of small businesses offering health insurance to employees nationally, Idaho should get behind finding a solution.
With the economy in bad shape, the squeeze on families is bound to get worse. The Obama administration must address the problem before health-care costs crush any more hard-working Americans or innocent kids.
