REAL COST OF HEALTH CARE

Madame Chairwoman (Mrs. Sebelius) has stated that free contraception will lower the cost of health care because we will have less maternity charges. Therefore the cost will “pay for itself” in the savings. At first glance this seems to make sense from a purely cost point of view. Rarely do these “plans” work in the actual practice. We are making the assumption that by making contraceptives and sterilizations free, unplanned pregnancies will cease.

Prior to the Mandate, we are led to believe that contraceptives were difficult to secure and prohibitive in cost. Neither is true. More importantly, we know is that unplanned pregnancies do not occur because of the great cost or lack of contraceptives but the lack of motivation of the users. In fact the prevalence and ease of contraceptive measures has led to more reckless and irresponsible behavior. Has anyone noticed the shocking rise in the number of STD cases?

I contend these same unmotivated users will not change behavior because the cost has been eliminated. Consider this. If I called an actuary and asked if we could add a “free contraceptives” rider to a health plan, would we get a rate reduction? What do you think they would say? They would say that not only would we not get a reduction but the rates would rise. They know two things, insurance expenses would rise and people would still have babies.

In the comment about contraceptives Madame Chairwoman leads us to believe that she is attacking the high cost of medical insurance. Nonsense. This statement is, at best misleading, if not an outright lie. Consider the real cost of medical insurance.

Starting in 2011, over 10,000 people will turn 65 every single day for the next 19 YEARS. This staggering volume of people will be going on Medicare, the Government Health Plan paid by employers and employees (not unlike social security). Anyone in Health Care can tell you that the largest medical expense is on the elderly as they get older and need more health care. We have not even come close to seeing the medical bills that lie in our future.

These are the facts that all politicians do not want to discuss. 2.8 million people will qualify for Medicare this year. 80 million Americans will be on Medicare by 2030, compared with 47 million today. The annual cost of Medicare by 2020 will be $929 billion, an 80 percent increase.

Who will pay these expenses? The workers of tomorrow will pay through Medicare taxes just as we have been doing. Does anyone see a demographic problem here? We have an incredible number of citizens becoming beneficiaries while our government has made controlling the population a major goal. More recipients with less payors sounds like a top heavy system that will have to collapse. Look at Greece. They have many pensioners and few workers. The result will have to be compromised health care along with unsustainable debt.

Have you ever heard the story of lemmings running to the sea. While Madame Chairwoman brags about the benefits of contraception, 10,000 more people just turned 65. One week from now that will be over 70,000 and it will go on for 19 years. Maybe we should stop listening to Madame Chairwoman and start asking the hard questions. One of these questions is, can we rely on the totalitarian and political system to provide quality health care at a reasonable cost? I have my doubts.

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