Rather than being used as a pre-payment plan for routine care, [health] insurance should only cover unpredictable, catastrophic costs.
As a comparison, homeowners often carry fire insurance, but seldom maintenance insurance. You buy fire insurance to guard against a catastrophic loss, which is a low probability but high cost event. As a result, fire insurance is relatively affordable, since premiums paid by all those homeowners whose houses do not burn down more than pay for the losses on those few whose houses do.
On the other hand, no one carries home maintenance insurance to pay for a clogged drain or broken garage door. If insurance paid for the plumber visit every time a toilet overflowed, we would now have a plumbing crisis, and Congress would be looking to rein in runaway plumbing bills with “national plumbing insurance.”
by Peter Schiff
Government most certainly did not give us the health care crisis. Avoiding single payer healthcare (or going the route of socialized medicine) is the cause of the crisis. Every other wealthy country has one or the other. People get more and better care, and those countries spend a smaller percentage of GDP on healthcare.
ReplyDeleteOnly a constant barrage of propaganda for the public and campaign contributions for the politicians has kept us from following one of these two paths.