Is anyone's business affected by politics?

Re: Is anyone's business affected by politics?

The problem is not the middle man per se, but the lack of a competitive open market. The way the healthcare plans are structured and executed insulates the consumers of healthcare from actual procedure costs that thwarts free market forces that would reduce cost and increase innovation through competition.
JR

In addition to what you have laid out here, is the wacked way our patent system works. Or doesn't.
If you peruse the patent section of a newspaper, a majority of these are within the medical field. Which would not be a problem in and of itself, if it hadn't taken on such a skewed implementation.

In camera's for instance, the patents are a big deal, but can't be used to leverage the consumer the way they can in medicine. That is because the consumer is given options. This also forces manufacturers to share patents, and cooperate for the market share. (An interesting byproduct is cameras from the grey market having different features, because they share different patents in different markets.)

When my wife had her mastectomy, she had implants. But because the area is so traumatized, they do not put in the replacements immediately, but put in a temporary. This temporary has a port, very similar to one on a vaccine bottle, that allows fluid to be injected into it, with literally a needle like that used to vaccine, that goes through the skin, and into the temporary implants. The temps are filled with saline, gradually over time, until the area has recovered enough from the mastectomy, and the skin has stretched enough to accept the fake boobs. All of this is quite standard, and the billing looks fine to me (all itemized) with one glaring exception. The temps cost $4440. Line item. No moving parts, nothing extraordinary about them. And that is each. So $9k for.... those? Think of the sound gear you could buy with $9K, or the vehicle, and all that goes into its manufacturing, technology to be developed. Esoteric materials, finely machined parts for interaction. $9K (picture below)

So, price protected by patents. Competition stifled by insurance, and system in general.
It is also important to point out that the insurance companies get paid a percentage. So cutting costs cuts into their percentage.

Whew. Now I want to rant about the chemo process, and the cost of that (patented taxatir was thousands of dollars/oz. to the tune of $20K line item per visit for that one chemical) But this is all making me tired, sad and mad. Grrrr.

But it is more of the same, and goes to your point below.

My largest complaint with big insurance is that they cut private deals with hospitals and providers, to pay deep discounts from the list prices for procedures. They typical insurance user doesn't notice or doesn't care, but when someone outside the system like me, tries to buy healthcare services al a carte, I get nailed for the artificial high price. The crony deals between big insurance and big providers reduces competition that would pop up, if there was price discovery available to consumers who were spending their own money. If we look at things like optional cosmetic surgery, or Lasik eye surgery not within the big insurance system, we see vibrant competition, innovation, and lower prices.

JR

Thanks for the PMs, Regards, Jack
 

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Re: Is anyone's business affected by politics?

While I could write a small book about the foibles and recent changes to the patent system I don't think that explains the $4400. ea. ticket for your salt water bags. If it was a patent, someone else would invent a slightly different way and sell them for $3000. What is patentable about a plastic bag, the fill it later option? OK not a bad idea, look in the mirror and say when.

No I suspect the obscene price is partly to cover medical malpractice-product liability insurance in case the medical device leaks or whatever, while saline (actually probably Ringer's solution) should be pretty benign. The never ending TV ads from ambulance chasing lawyers trying to separate the medical industry from their money is also part of the cost problem. Then another major part the huge markup by the hospital to cover the homeless people who come in to get the same operation then don't pay.

Sorry I am not making light of this, but the prices you shared expose the lack of competition. Did your doctor show you different cheaper options? I suspect the similar procedure including spare parts could be done in India for a fraction of the price. While the thought of being a medical tourist is unattractive. Being uninsured I keep my options open.

Speaking about medical devices, can somebody explain how a tax on medical devices will make healthcare more affordable? Whenever we tax something we get less of it. Taxing them more means less medical devices.

Maybe we should tax the government. :-)

JR