The most recent data on national health care expenditures shows that in 2021 the Government controls ~64% of spending including the subsidy of tax free employer provided health insurance.
The market is inefficient and distorted due to opaque pricing, cost shifting from government to private insured and uninsured, and tax free subsidy for employer health insurance.
Improvements would be:
- Health care products and service providers free to charge what ever price they want, BUT they can only charge one price and not allow cost shifting.
- Employer provide health insurance taxed as income to minimize over consumption.
- Catastrophic (major medical) insurance based on large risk pools available to all who participate (can't buy at last minute) subsidized based on need.
- Non-Catastrophic (minor medical) insurance with copays and deductibles based on large risk pools available to all who participate (can't buy at last minute) subsidized based on need.
