Understanding The Limits Of Health Insurance

The American Thinker ^ | August 17, 2007 | Steven M. Warshawsky

[RepublicanPatriot]

Health insurance fundamentally is designed to shift the cost of providing health care from those who need it but can't afford it, to those who don't need it but can afford it. When people complain about a lack of national health insurance, in other words, what they really are saying is that someone else should be required to pay the cost of their medical care. Not only is this a radically irresponsible and immoral position in itself; but also, as a practical matter, few people, even in a society as rich as ours, have sufficient personal resources to pay out-of-pocket for the very best health care our medical industry has to offer in all contingencies. (Just as very few people can afford the nicest homes or fanciest cars or toniest prep schools.) So trying to shift the cost to other people through a scheme of national health insurance, ultimately, can't work. Whether individually or as a nation, we cannot consume more health care than we can afford.

[Wolverine]

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Learn the real truth about the so-called 45 million medically uninsured.

 

Get the facts in 9 minutes.

 

Uninsured in America

(2007) Run Time: 9:03

http://www.freemarketcure.com/uninsuredinamerica.php

Uninsured in America examines the conventional wisdom that 45 million Americans cannot get health insurance and consequently do not have access to health care.

Uninsured in America examines the conventional wisdom that 45 million Americans cannot get health insurance and consequently do not have access to health care. (2007) Run Time: 9:03

About the Video:
 

Uninsured in America is part of the Free Market Cure Video Series created by filmmaker Stuart Browning to inform Americans about the dangers of collectivized medicine and the benefits of free markets in health care.

The filmmaker has received no funding from the health insurance industry or the health care industry.

Transcript:
Get the movie transcript with footnotes & datasources: HTML | PDF

http://www.youtube.com/watch?v=uKCWbq18bNk

http://www.freemarketcure.com/

[caveat emptor]

Health insurance fundamentally is designed to shift the cost of providing health care from those who need it but can't afford it, to those who don't need it but can afford it.

And who might that be, who doesn't need health care, Mr. American Thinker?

[RepublicanPatriot]

All insurance schemes, of course, are premised on the notion that many people pay into the “fund” that is used to pay claims that, in total, amount to less than the fund itself. Obviously, all people need health care, but not to the same degree. So, in principle, depending on how you define benefits, you can construct a viable health insurance scheme.

The problem is that, unlike, say, home fire or flood insurance, most people *will* need medical are in their lives. An insurance scheme becomes increasingly untenable if most people paying into the system are taking out more than they put in.

Another problem is that, once health care becomes politicized, people will demand that government provide them with more and more benefits, which will make the gap between what they pay into the system and what they take out even larger. This will lead to a crash in the medical industry, with worse care, longer wait times, fewer new drugs and procedures, etc. It is inevitable.

The free market, augmented by intra-family responsibility and private charity, remains the best system for allocating scare goods and services.

[dragnet2]

Fact is, insurance of any kind, be it auto, home, health, are only there to make profits, and limit their liability and payouts. They do everything in their power to limit settlements, and coverage. They are not your friend, nor are they there to help, regardless of what their commercials with all those smiling faces depict. Smiling faces, sometimes they don't tell.....

Just the way it is.

[Publius6961]

""We are going to take things away from you on behalf of the common good."

That says it all.

[Publius6961]

You tapdanced around a critical issue: insurance is not something you get after you have serious health issues.

That's usually referred to as welfare, if the government provides it --- which someone else always has to pay for.

[dragnet2]

Fact is, insurance of any kind, be it auto, home, health, are only there to make profits, and limit their liability and payouts. They do everything in their power to limit settlements, and coverage. They are not your friend, nor are they there to help, regardless of what their commercials with all those smiling faces depict. Smiling faces, sometimes they don't tell.....

Just the way it is.

You tapdanced around a critical issue: insurance is not something you get after you have serious health issues.

I have no idea what you're talking about. The above was a statement in regards to insurance in general. I tapdanced around nothing friend.

In addition, is there something in my statement that is incorrect?

[MarkL]

Actually, the whole concept of insurance in general is extremely responsible, and is set up much like a CO-OP. When joined into voluntarily, insurance allows people to "spread the risk" among a pool of people greater than the probability of the events requiring the insurance. By spreading the risk over a great number of people who will probably not need those services, the vast minority of people who do can be covered for the expenses.

The key is will people participate voluntarily, and will they pay the premiums?

Mark

[DumpsterDiver]

That link you posted was an eye-opener. Faye Chao is a real piece of work!

Uninsured in America: Transcript

Faye Chao (Uninsured 26-year-old): My rent currently is $475 plus utilities. In total, my cost comes out to about $530 a month.

Stuart Browning: What's your average monthly income?

Faye Chao: On average my monthly income is twenty three hundred. And it's not taxed. Sometimes, you know, it varies. I save almost a thousand dollars a month.

Stuart Browning: So why don't you have health insurance?

Faye Chao: I'm young right now and currently don't need health insurance. Probably don't want to spend $200 a month.

Stuart Browning: In this state, a 26-year-old non-smoker with no preexisting conditions can get a policy for $96 a month.

Faye Chao: It's 96 dollars a month, but that's twelve hundred dollars a year you're spending on health insurance. And honestly, I feel it's ridiculous that we live in a first world country where I have to pay for basic health care.

Stuart Browning (voice over): But, what if they get sick or injured and they don't have any savings? They know that the U.S health care system will still give them medical care.

Faye Chao: I bike everywhere in the city, so I have gotten hit by drivers twice - and one time I ended up in the hospital. No, I didn't have health insurance, but I was treated - and billed for it later.

Stuart Browning (off camera): Umm hmm. How much was the bill for? Do you remember?

Faye Chao: Honestly I don't because I didn't bother to pay for it.

SNIP