Headlines from the Weekend

“The cost problem has multiple causes, but a primary one is the overuse of medical services and technology. Today’s health insurance system gives physicians and hospitals little incentive to practice medicine cost-effectively. And as long as they can pass their costs on to consumers in the form of ever-rising premiums, insurance companies don’t need to be disciplined spenders either. To create the right incentives, insurers should move away from paying for each treatment or service performed for a patient — an approach that rewards volume, not effectiveness — and instead base reimbursements on the treatment plans that produce the best results.”

“Seven Senate Finance Committee members from both sides of the aisle have emerged as the key negotiators on a health care reform plan as President Obama’s August deadline quickly approaches.”

“The health-care debate is focused these days way too much on the tail and not nearly enough on the rest of the dog. The disappointing result could be a stubby little tail attached to a poorly designed — not to mention astonishingly expensive — dog.”

“The intensifying health care debate is following Members of Congress home to their districts during this week’s recess. A long list of industry and interest groups have taken out advertising spots, are activating grass-roots networks and are planning Member meetings outside the Beltway.”

AHIP’s Perspective:

“‘We have really ramped up our efforts to engage the health plan community,’ said…a spokesman for AHIP, which will be involved in more than 75 town-hall and other events across the country this week. ‘We are encouraging health plan employees from across the country to get involved, reach out to their Member of Congress, talk about what they do and the value they’re adding to the health care system.’”

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