Effective health-care reform must meet two objectives: 1) It must secure coverage for all Americans, and 2) it must dramatically lower the cost of health care. Health-care spending has outpaced the rise in all other consumer spending by nearly a factor of three since 1980, increasing to 18% of GDP in 2009 from 9% of GDP. This disturbing trend will not change regardless of who pays these costs -- government or the private sector -- unless we can find a way to improve the health of our citizens. Failure to do so will make American companies less competitive in the global marketplace, increase taxes, and undermine our economy.
At Safeway we believe that well-designed health-care reform, utilizing market-based solutions, can ultimately reduce our nation's health-care bill by 40%. The key to achieving these savings is health-care plans that reward healthy behavior.
As a self-insured employer, Safeway designed just such a plan in 2005 and has made continuous improvements each year. The results have been remarkable. During this four-year period, we have kept our per capita health-care costs flat (that includes both the employee and the employer portion), while most American companies' costs have increased 38% over the same four years.
Answer by grlygrlz2 at 10:48 PM on Aug. 26, 2009
Safeway's plan capitalizes on two key insights gained in 2005. The first is that 70% of all health-care costs are the direct result of behavior. The second insight, which is well understood by the providers of health care, is that 74% of all costs are confined to four chronic conditions (cardiovascular disease, cancer, diabetes and obesity). Furthermore, 80% of cardiovascular disease and diabetes is preventable, 60% of cancers are preventable, and more than 90% of obesity is preventable.
As much as we would like to take credit for being a health-care innovator, Safeway has done nothing more than borrow from the well-tested automobile insurance model. For decades, driving behavior has been correlated with accident risk and has therefore translated into premium differences among drivers. Stated somewhat differently, the auto-insurance industry has long recognized the role of personal responsibility. As a result, bad behaviors (like speeding, tickets for failure to follow the rules of the road, and frequency of accidents) are considered when establishing insurance premiums. Bad driver premiums are not subsidized by the good driver premiums.
Answer by Anonymous at 10:50 PM on Aug. 26, 2009
Why should taxpayers pay for Health care for ALL when we can lower the costs in the private sector first? Without the trillions of taxpayer dollars?
Answer by grlygrlz2 at 11:02 PM on Aug. 26, 2009
Answer by stacymomof2 at 11:12 PM on Aug. 26, 2009
Stacy if Market-based solutions can reduce the national health-care bill by 40% and we add reform for pre-existing conditions, AND 80% of Americans are HAPPY with the plan they have, it sounds to me there is ROOM to negotiate AWAY from public option. IMO~it's a step in the direction of HOPE free market and government reform can work TOGETHER to make effective reform...
Answer by grlygrlz2 at 11:17 PM on Aug. 26, 2009
Answer by stacymomof2 at 11:28 PM on Aug. 26, 2009
The example is up there, clear as day. Research Safeway insurance on your own.... It is a successful model that should be given SERIOUS consideration.
Answer by grlygrlz2 at 11:35 PM on Aug. 26, 2009
Answer by yourspecialkid at 11:36 PM on Aug. 26, 2009