For Americans the “Insurance” Medicaid remains separate from the rest of the insurance system for which most working age Americans participate however in the future the plan from big government is to provide a structure where a smooth transition between Medicaid coverage and private health insurance companies by replacing replace both traditional Medicaid assistance and the tax preference for employer-paid health with defined contribution payments; this change would allow better coordination between both types of coverage by integrating coverage for the poorest and also providing choices to those with higher incomes.
With today’s cost-conscious competitive market it is going to be a uphill battle to sell the American public a complex health care plan with the governments involvement only creating more rapidly rising costs. With that said, some do believe the more government is involved the more force of budgetary controls there will be.
When we create and put into place a more defined contribution of payments we will also foster a more transparent political discussion over where and how to place limits on what is provided through taxpayer subsidies. When in motion the American people will see a more competitive dynamic from which all persons will benefit while still allowing additional support for low-income households.
When we approach the tax treatment of health insurance we could focus on restoring a more even playing field for all purchasers. As it stands right now the current tax exclusion for employer-sponsored health insurance continues to be increasingly ineffective and the new “Cadillac tax” which won’t go into effect until a decade after enactment will only add to the plans ineffectiveness as the health sector will once again be confused.
Why not give more people the power to choose- give every American household a tax credit for the sole purpose of using that money to purchase health insurance and health care services, should any household decide not to buy health coverage they would lose the entire value of the credit.
Now I realize that this would not make people who charge fees just as hospital or physicians would not like this plan because the elimination of fees would be a must for an even playing field. Persons or companies used to charging extra fees would have to abide by the laws of current market valued prices.
Can this be done? Time will only tell, with elections in full swing health care will continue to be a hot topic and one the American public should keep a keen eye out for potential changes that will effect you and I today and for our future.
Get the help you need from a leading advocate with Social Service Coordinators, and start getting your medical bills paid!