Medical groups aim to cut $2T in health care costs over 10 years

[Nagishkaw 510]

WASHINGTON — President Obama will announce today that the health care industry will try to cut $2 trillion in expenses over the next decade to slow the rising cost of medical care, two White House officials familiar with the plan said.

If successful, the cuts could help reduce costs for families and provide money for an expansion of health care coverage backed by Obama and some Democrats in Congress, said the officials, who briefed reporters but refused to be identified ahead of Obama's announcement.

"If these savings are truly achieved, this may be the most significant development on the path to health care reform," said Ron Pollack, executive director of Families USA, which advocates for expanded health care coverage. "It would cut health costs for families and businesses, and it would enable adequate subsidies to be offered so that everyone has access to quality affordable health care."

Six medical trade groups, including the American Medical Association and America's Health Insurance Plans, which represents health insurance companies, have agreed to the cost-cutting, which could save the average family of four $2,500 in 2015, according to the sources. Health care costs would continue to rise, just not as quickly.

"We cannot continue down the same dangerous road we've been traveling for so many years, with costs that are out of control," Obama will say, according to excerpts of his speech released by the White House. "That is why these groups are voluntarily coming together to make an unprecedented commitment."

White House officials offered few specifics about how the cuts would be achieved or how the promise to slow the rate of cost increases would be enforced.

Democratic lawmakers are developing a plan to expand coverage to more of the 46 million people the Census Bureau estimates are uninsured. A major obstacle to that effort is the rising cost of health care, which has grown to $2.2 trillion a year, according to the Congressional Research Service.

Karen Ignagni, president of America's Health Insurance Plans, suggested a similar idea in congressional testimony in March.

"Cost savings of this magnitude could go a long way toward ensuring that every American has access to affordable, quality coverage," Ignagni said. "These savings could help finance part of the costs of providing coverage to the uninsured."

http://www.usatoday.com/news/health/2009-0...lth-costs_N.htm

[Niels Bohr 72]

I'll die by 2015 because the end of the world is in 2012.

[DeadPoolX 9]

I'll die by 2015 because the end of the world is in 2012.

Mayan calendar?

[Mr. Big Dog 10,747]

Health care costs would continue to rise, just not as quickly.

I see. A strategy that will allow to claim victory no matter what. If costs rise 6% annually, we just claim that they were bound to rise 10% annually. Hence, we managed to reduce costs by trillions of dollars. If this is what the administration is going to be selling, I sure ain't buying.

[Niels Bohr 72]

They'll change the time to 2020 when we get to 2010. Then, they'll change it again when we get to 2015 to 2025.....etc...it continues.

I doubt that health care cost will decline, ever!

Edited May 11, 2009 by Niels Bohr