Vermont: Creating a singular health system
January 2, 2011 - The Boston Globe
While Massachusetts grapples with its own health costs, the nationfs eyes
will be on Vermont as it tries to do ObamaCare one better and switch to a
single-payer health insurance system. The newly elected governor, Peter Shumlin,
made single-payer a main campaign pledge. Now he has assembled a team of health
officials grounded both in the realities of Vermont medical care and the pros
and cons of comprehensive health reform. Shumlinfs special assistant for reform
will be Anya Rader-Wallack, once an aide to former Vermont Governor Howard Dean
and more recently deeply involved with the Massachusetts universal-coverage
system.
Single payer, under which the government would take over all health insurance
functions, has attracted many reform advocates because it simplifies health
payments and reduces the overhead costs of a private insurance system that has
to pay for marketing and, in some cases, shareholdersf dividends. Single-payer
would also unlink insurance from employment, reducing a costly burden on
companies and increasing workersf flexibility in seeking new job opportunities.
Hospitals and doctors have been wary of single-payer because two of the biggest
payers in the current system — government-run Medicare and Medicaid — reimburse
at rates that providers say are inadequate.
Any reform plan in Vermont will have to address that concern. More
immediately, it will need waivers from the federal government to bring both
Medicare and Medicaid into the one-payer system. The Obama administration should
examine waiver requests closely to make sure they protect the needs of both
patients and providers. But Vermont deserves the benefit of the doubt as it
works its way toward becoming a laboratory of democracy on an issue — the
unsustainably steep increase in health costs — that has proven intractable both
for the nation at large and health-reform pioneer Massachusetts.
© Copyright 2011 Globe Newspaper Company.