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Obama Flexible But Says Public Health Option Would Control Costs

National News • June 24, 2009
President Barack Obama said Tuesday his healthcare overhaul needed a public insurance option to enforce market "discipline," but stopped short of saying he would veto legislation without ...

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Subject: RE: RE: Mr. Obama's question

Posted On: June 24, 2009, 10:06 am CDT
Posted By: Ratemaker
Comment:
Of course it might depend on how it's structured. If the gov't plan is "last resort only," i.e. a residual market, AND the policy makers in Washington have the discipline to leave it that way, AND it's priced accordingly, it could add to the health of the market.

From Mr. Obama's statements about the plan "competing" and being needed to keep the private companies "honest," it seems that the gov't program he wants is not the one I've descrived above.

I'm not well-versed enough in the subject to suggest alternatives to reduce the overall cost in the system, but I'm thinking a hard cap on non-compensatory damages for med-mal would be a start. While those awards may be few and far between, I think that the fear of them causes doctors to practice overly "defensive medicine."
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