In Vermont, all of our insurance companies use separate forms. Doctors and patients must fill out maze-like paperwork to get reimbursed for care. My proposal is simple: If you want to do business in Vermont as an insurance company, you will use one standardized form.
Doing this is especially important because, as a study published in the June 2010 issue of the respected medical journal Health Affairs found, “excessive administrative complexity costs physicians nearly 12 percent of their net patient service revenue.” The article proposes simple billing and paperwork reforms that would meet the mandates of the new law and, in the process, save both doctors and their staffs many hours per week. The resulting efficiencies, if implemented nationwide, could save Americans $7 billion in annual health care expenses. This is what we mean when policy wonks talk about ‘bending the cost curve’. It is exactly the sort of reform that must be implemented nationally if we are going to fix our health care system, and for which Vermont is an ideal laboratory.
Furthermore, this standardization of paperwork is only the beginning. The Health Affairs study focused only on billing issues in doctors offices, but notes that the savings it foresees there will ripple through our entire health care system.
Make no mistake: Vermonters cannot afford to keep things the way they are. I have long said that I support a health care system where everyone pays for care and everyone receives care. Streamlining the maze of paperwork now associated with health care is not only the best way to begin cutting costs – it is an absolute necessity. My proposal will make Vermont a national leader in this effort rather than simply throwing up our hands and declaring the current system bad but inevitable as both Brian Dubie and the original poster do.
Here is the real question Vermonters, and all Americans, must face going forward: are we willing to work together, take on the insurance companies and build a health care system designed to put patients, rather than corporate interests, first? If the answer is yes, then we should be look for creative solutions for containing costs and embrace the opportunities afforded by health care reform for Vermont to become a national leader. Doing that will require careful study of professional data like the study in Health Affairs, not simply declaring that the insurance industry’s way is the only way.