Global AIDS: for the latest breaking developments on the Global AIDS bill, click here.
One of the biggest challenges facing Americans and government at all levels is access and the rising cost of health care. In 2006, U.S. health spending is expected to approach $2.2 trillion and account for more than 16% of our gross domestic product (GDP). And yet over 46 million Americans are uninsured and the average family health insurance premiums rose 7.7% in 2006—compared to a 3.8% rise in wages and inflation at 3.5%.
For over 40 years, the government has been making entitlement promises it can’t keep. For 2006, it is estimated that the unfunded liability (the amount the program will owe compared to incoming revenues) of Medicare is $70.5 trillion—just over five times that of Social Security. The CBO projects that Federal spending for Medicare, Medicaid, and the State Children's Health Insurance Program will total $559 billion and account for about 21% of federal outlays in 2006. Federal tax expenditures for health benefits; health coverage for military personnel, veterans, and federal employees; and spending by Public Health Service agencies are expected to add $247 billion in costs
Our American health care system is in the Intensive Care Unit, and Dr. Coburn supports the following treatments:
PRINCIPLES FOR CONSUMER-DRIVEN HEALTH CARE
Emphasize prevention - Raising public awareness about the risk factors associated with diseases like diabetes, as well as promoting healthy living and regular screenings for various cancers such as colon cancer can save billions of dollars and countless lives. The federal government must provide leadership in this area.
Expand individual options - Today, American consumers are trusted to make wise choices about every product with the exception of their health care. In the health care economy, third-party payers within health insurance and government bureaucracies have effectively severed the doctor-patient relationship and stripped individuals of much of their decision-making power. Health care needs to be reconnected to the patient so the patient has more control over their own health care decisions. Health Savings Accounts or individual health care tax credits are two tools that can accomplish this goal and should be promoted and expanded. Individuals should be able to own their health insurance policies just like they do their life or auto insurance policies.
Promote innovation in health care - American innovation cuts prices and improves quality in every industry except education and health care. Today, one out of every four health care dollars isn’t going to help anyone get well. Competition is the only force to guarantee patients get the biggest bang for their buck in a $2.2 trillion market. While well-intentioned, government control of 45% of the health care market stymies innovation through onerous regulations, price-controls, and micromanaged benefit structures. Public programs need to change from defined benefits to defined contributions in order to put patients back in charge of their health care.
Limit frivolous lawsuits - Studies show that one out of every three tests ordered today by doctors and hospitals do nothing to help patients get well but are ordered by physicians in order to protect themselves from potential lawsuits. These unnecessary tests add 7 percent to the cost of health in our country. Frivolous lawsuits are enriching personal injury lawyers while driving up health care costs for everyone. The skyrocketing cost of malpractice insurance, which is driving many doctors out of business, particularly in rural areas, is a direct consequence of frivolous lawsuits. Congress must act to limit frivolous lawsuits while protecting patients who have legitimate claims.
Ensure competition in the pharmaceutical industry - The pharmaceutical industry in America today enjoys special protections that enable it to avoid competition in a free and open global market. Americans pay the majority of R&D costs because countries with socialized medicine put artificial price controls on American drugs—and there’s no global competition to change that. Allowing American consumers to purchase affordable and safe prescription drugs from our trading partners will create a global marketplace to reduce the cost of life-saving drugs.
ACCOUNTABILITY FOR YOUR TAXPAYER DOLLARS: THE WORK OF THE FEDERAL FINANCIAL MANAGEMENT (FFM) SUBCOMMITTEE
Chairman Coburn’s work on the Subcommittee with respect to health policy is to promote solvency, transparency and proper financial management of America’s domestic healthcare programs, and to promote public health globally by ensuring our foreign assistance programs are financially transparent and prioritize proven, life-saving interventions. Continue to scroll down this page to access the latest FFM Subcommittee initiatives in federal health spending oversight.
U.S. domestic health: $806 billion dollars contributed by our federal government (total 2006 estimated U.S. health spending is $2.2 trillion) in just one year is no chump change; consequently, our federal health care programs require aggressive and effective oversight to assure that your taxpayer dollars are not wasted.
Global Health: International healthcare assistance for disease control and health infrastructure building has become a significant portion of U.S. foreign aid. The U.S. taxpayer annually funds over $5.81 billion for programs such as maternal and child healthcare, family planning, and reproductive health, and the eradication of debilitating and deadly diseases such as HIV/AIDS, malaria, and tuberculosis. In addition to this funding, the U.S. is also rebuilding the healthcare and public health infrastructures of Iraq and Afghanistan.
