WASHINGTON (AP) — There's good news for most companies that provide health benefits for their employees: America's slowdown in medical costs may be turning into a trend, rather than a mere pause.
A report Tuesday from accounting and consulting giant PwC projects lower overall growth in medical costs for next year, even as the economy gains strength and millions of uninsured people receive coverage under President Barack Obama's health care law.
If the calculations are correct, cost spikes because of the new health care law should be contained within a relatively narrow market segment. That would come as a relief for Democrats in an election year during which Republicans plan to use criticism of "Obamacare" as one of their main political weapons.
"There are some underlying changes to the system that are having an impact, and we can expect lower increases as we come out of the recession," said Mike Thompson of PwC's Health Research Institute, which produced the study. Cost "is still going up, but not as much as it used to."
The report comes with a caveat that sounds counterintuitive at first: Self-employed people and others who buy coverage individually could well see an increase in premiums in 2014.
The reasons have to do with requirements in the health care law. For example, starting next year insurers must accept patients with pre-existing medical problems, who cost more to cover. Also, new policies have to provide a basic level of benefits more generous in some cases than what's currently offered to individual consumers.
About 160 million workers and family members now have job-based coverage and are less likely to be affected. The individual market is much smaller, fewer than 20 million people. Still, it's expected to grow significantly over the next few years as a result of the health care law, which will also provide tax credits to help many people afford their premiums.
The U.S. spends more than $2.7 trillion a year on health care, well above any other developed country. But quality is uneven, there's widespread waste and fraud, and the system still leaves about 45 million people uninsured.
For years U.S. health care spending has grown much faster than the overall economy and workers' wages, but since the recession those annual increases have slowed dramatically. The debate now is whether that's a continuing trend. The answer will be vitally important, not only for companies and their employees, but for taxpayers who foot the bill for government programs such as Medicare, Medicaid and Obama's coverage expansion.
PwC's report forecasts that direct medical care costs will increase by 6.5 percent next year, one percentage point lower than its previous projection. The cost of care is the biggest component of premiums, followed by administrative expenses and overhead.
Cost-shifting to workers and efficiency measures from employers got most of the credit for slowing growth. PwC also said the health care law's push for hospitals and doctors to be more accountable may be starting to have an impact.
Four big factors were seen as pushing costs down next year:
—Patients seeking more affordable routine services in settings like clinics springing up in retail stores, as opposed to a doctor's office or the emergency room.
—Major employers contracting directly with hospital systems that have a proven record for complicated procedures such as heart surgery and certain back operations.
—The government ramping up penalties on hospitals that have too many patients coming back with problems soon after being discharged.
—Employers' ongoing effort to shift more costs to workers through higher annual deductibles, the amount people must pay each year before insurance picks up.
By using such shifting, PwC estimates that employers may be able to drive their share of next year's cost increase even lower than 6.5 percent.
On the other hand, two big factors will push costs upward:
—The high price of new "specialty" drugs to treat serious chronic illnesses such as autoimmune diseases and some types of cancer.
—Industry consolidation, with big hospitals buying up smaller ones, as well as medical practices and rehab centers. The downside of the demand for greater efficiency by employers and government is that it may be fostering new health care monopolies.
A really good question Dreamwalker. It is a sad situation for his family but what about all those people he sent to jail. To me that was just like the pot calling the kettle black.
anonymous
|
June 18, 2013
It has been doing that to me a couple of times in the last two days. I am logged in, but it calls me "anonymous", and this is not Rhuidean (in case it does it again lol)
by
JENNIFER PELTZ, Associated PressAssociated Press
Jun 18, 2013 | 105 views | 0 | 7 | |
City council candidate Mel Wymore getsa hug after a gun law rally on Friday, June 14, 2013 on the steps of New York City Hall. If Wymore wins a council seat it would mark the first transgender officeholder for the city. (AP Photo/Bebeto Matthews)
NEW YORK (AP) — Mel Wymore is a typical city council candidate in many ways, campaigning as a community board appointee, ex-PTA chair and founder of a roster of local organizations. But Wymore's community-leader resume has an unusual feature: He built much of it while he was a woman.
If he wins, Wymore would be the first openly transgender person elected to public office in the nation's biggest city and one of only a handful ever in the U.S., though his campaign is neither emphasizing his personal story nor sidestepping it.
"I want to create the inclusive community, and it goes beyond my personal identity," said Wymore, 51. "But it actually lends a lot to my story and my credibility as a candidate. I'm honest, I'm brave, I'm forthright, and I'm willing to stand up for change."
Wymore, a Democrat, faces several opponents who also have long records of community involvement on Manhattan's upscale, liberal Upper West Side.
Nationwide, at least five transgender people have won city, school board and judicial elections, including Mayor Stu Rasmussen in Silverton, Ore. Perhaps dozens of others have run across the country; it's unclear whether any such candidate has run for city office in New York, though a transgender New Yorker, Melissa Sklarz, holds a Democratic Party post that's on the ballot.
Wymore is a systems engineer, a specialist in structuring and managing complex projects. He fielded questions at a recent candidate forum with a courteous purposefulness, a handful of index cards for note-taking and a message of valuing "inclusion and care for the Earth and care for each other."
During 17 years on a city-appointed community board, two as chairman, Wymore raised money to renovate a run-down city recreation center that reopened Monday after facing a shaky future for years, among other projects. Colleagues say he's eagerly consultative but focused on finding resolution.
Wymore's personal life also has been shaped by a search for resolution. It took major turns in identity — twice — as Wymore raised two children and took on community roles, starting with co-founding a meal program 20 years ago.
He had a gleeful childhood as Melanie Wymore in Tucson, Ariz., and went on to college and a master's degree at the University of Arizona. Wymore worked for an aerospace company before moving to New York in the 1980s to further a relationship that became a marriage, and to work in engineering and technology consulting jobs.
Yet the "exuberance" from childhood slipped away around puberty. At 35, Wymore reached a conclusion about why — and came out as a lesbian.
As a decade went by, Wymore still felt joy was missing and didn't know the reason until seeing a recorded interview with a transgender boy during an anti-bullying event about five years ago. Wymore looked at the boy and saw himself.
"It suddenly hit me that it was gender that was at the core" of Wymore's unease, he said in an interview in his campaign office in a brownstone. "And, of course, it terrified me at the same moment because I'd already been through this family-disrupting, life-changing transition."
He ultimately decided to undertake surgical and other changes to live as a man. After telling his family, the newly chosen chairman made an announcement of a sort rarely, if ever, heard at community boards.
The response was accepting, he and a colleague recall. "People knew him before and knew what kind of person he was," member Madge Rosenberg explains.
But there were some alienating moments during Wymore's roughly two-year transition. At times he sensed other people's awkwardness as they stumbled over whether to use "he" or "she," or felt hurt when a women's book group stopped inviting him for fear of seeming to dismiss his identity shift.
The experience made him more determined to advocate for the disabled, the elderly and others who feel overlooked — in other words, everybody, Wymore says.
After all, "everyone feels excluded some time or another, for some thing or another," he said.
Wymore's opponents include Green Party candidate Tom Siracuse and several Democrats: restaurant executive Ken Biberaj; Democratic Committeewoman Debra Cooper; Noah Gotbaum, founder of the volunteer group New York Cares and a son of a prominent labor leader and stepson of a former city public advocate; Democratic district leader Marc Landis; and former community board chairwoman Helen Rosenthal. The Democratic primary is in September, and the general election is in November.
No one, contender or constituent, mentioned Wymore's personal story at the recent candidate forum. And that's just as he'd like.
"For me, it's really about the work at hand," he says.
Just wanted to point out that the deadline to submit photos is September 1st. Everyone still has time to send in their favorite pictures! Can't wait to see the calendar!
WASHINGTON (AP) — There's good news for most companies that provide health benefits for their employees: America's slowdown in medical costs may be turning into a trend, rather than a mere pause.
A report Tuesday from accounting and consulting giant PwC projects lower overall growth in medical costs for next year, even as the economy gains strength and millions of uninsured people receive coverage under President Barack Obama's health care law.
If the calculations are correct, cost spikes because of the new health care law should be contained within a relatively narrow market segment. That would come as a relief for Democrats in an election year during which Republicans plan to use criticism of "Obamacare" as one of their main political weapons.
"There are some underlying changes to the system that are having an impact, and we can expect lower increases as we come out of the recession," said Mike Thompson of PwC's Health Research Institute, which produced the study. Cost "is still going up, but not as much as it used to."
The report comes with a caveat that sounds counterintuitive at first: Self-employed people and others who buy coverage individually could well see an increase in premiums in 2014.
The reasons have to do with requirements in the health care law. For example, starting next year insurers must accept patients with pre-existing medical problems, who cost more to cover. Also, new policies have to provide a basic level of benefits more generous in some cases than what's currently offered to individual consumers.
About 160 million workers and family members now have job-based coverage and are less likely to be affected. The individual market is much smaller, fewer than 20 million people. Still, it's expected to grow significantly over the next few years as a result of the health care law, which will also provide tax credits to help many people afford their premiums.
The U.S. spends more than $2.7 trillion a year on health care, well above any other developed country. But quality is uneven, there's widespread waste and fraud, and the system still leaves about 45 million people uninsured.
For years U.S. health care spending has grown much faster than the overall economy and workers' wages, but since the recession those annual increases have slowed dramatically. The debate now is whether that's a continuing trend. The answer will be vitally important, not only for companies and their employees, but for taxpayers who foot the bill for government programs such as Medicare, Medicaid and Obama's coverage expansion.
PwC's report forecasts that direct medical care costs will increase by 6.5 percent next year, one percentage point lower than its previous projection. The cost of care is the biggest component of premiums, followed by administrative expenses and overhead.
Cost-shifting to workers and efficiency measures from employers got most of the credit for slowing growth. PwC also said the health care law's push for hospitals and doctors to be more accountable may be starting to have an impact.
Four big factors were seen as pushing costs down next year:
—Patients seeking more affordable routine services in settings like clinics springing up in retail stores, as opposed to a doctor's office or the emergency room.
—Major employers contracting directly with hospital systems that have a proven record for complicated procedures such as heart surgery and certain back operations.
—The government ramping up penalties on hospitals that have too many patients coming back with problems soon after being discharged.
—Employers' ongoing effort to shift more costs to workers through higher annual deductibles, the amount people must pay each year before insurance picks up.
By using such shifting, PwC estimates that employers may be able to drive their share of next year's cost increase even lower than 6.5 percent.
On the other hand, two big factors will push costs upward:
—The high price of new "specialty" drugs to treat serious chronic illnesses such as autoimmune diseases and some types of cancer.
—Industry consolidation, with big hospitals buying up smaller ones, as well as medical practices and rehab centers. The downside of the demand for greater efficiency by employers and government is that it may be fostering new health care monopolies.
A really good question Dreamwalker. It is a sad situation for his family but what about all those people he sent to jail. To me that was just like the pot calling the kettle black.
anonymous
|
June 18, 2013
It has been doing that to me a couple of times in the last two days. I am logged in, but it calls me "anonymous", and this is not Rhuidean (in case it does it again lol)
by
JENNIFER PELTZ, Associated PressAssociated Press
Jun 18, 2013 | 105 views | 0 | 7 | |
City council candidate Mel Wymore getsa hug after a gun law rally on Friday, June 14, 2013 on the steps of New York City Hall. If Wymore wins a council seat it would mark the first transgender officeholder for the city. (AP Photo/Bebeto Matthews)
NEW YORK (AP) — Mel Wymore is a typical city council candidate in many ways, campaigning as a community board appointee, ex-PTA chair and founder of a roster of local organizations. But Wymore's community-leader resume has an unusual feature: He built much of it while he was a woman.
If he wins, Wymore would be the first openly transgender person elected to public office in the nation's biggest city and one of only a handful ever in the U.S., though his campaign is neither emphasizing his personal story nor sidestepping it.
"I want to create the inclusive community, and it goes beyond my personal identity," said Wymore, 51. "But it actually lends a lot to my story and my credibility as a candidate. I'm honest, I'm brave, I'm forthright, and I'm willing to stand up for change."
Wymore, a Democrat, faces several opponents who also have long records of community involvement on Manhattan's upscale, liberal Upper West Side.
Nationwide, at least five transgender people have won city, school board and judicial elections, including Mayor Stu Rasmussen in Silverton, Ore. Perhaps dozens of others have run across the country; it's unclear whether any such candidate has run for city office in New York, though a transgender New Yorker, Melissa Sklarz, holds a Democratic Party post that's on the ballot.
Wymore is a systems engineer, a specialist in structuring and managing complex projects. He fielded questions at a recent candidate forum with a courteous purposefulness, a handful of index cards for note-taking and a message of valuing "inclusion and care for the Earth and care for each other."
During 17 years on a city-appointed community board, two as chairman, Wymore raised money to renovate a run-down city recreation center that reopened Monday after facing a shaky future for years, among other projects. Colleagues say he's eagerly consultative but focused on finding resolution.
Wymore's personal life also has been shaped by a search for resolution. It took major turns in identity — twice — as Wymore raised two children and took on community roles, starting with co-founding a meal program 20 years ago.
He had a gleeful childhood as Melanie Wymore in Tucson, Ariz., and went on to college and a master's degree at the University of Arizona. Wymore worked for an aerospace company before moving to New York in the 1980s to further a relationship that became a marriage, and to work in engineering and technology consulting jobs.
Yet the "exuberance" from childhood slipped away around puberty. At 35, Wymore reached a conclusion about why — and came out as a lesbian.
As a decade went by, Wymore still felt joy was missing and didn't know the reason until seeing a recorded interview with a transgender boy during an anti-bullying event about five years ago. Wymore looked at the boy and saw himself.
"It suddenly hit me that it was gender that was at the core" of Wymore's unease, he said in an interview in his campaign office in a brownstone. "And, of course, it terrified me at the same moment because I'd already been through this family-disrupting, life-changing transition."
He ultimately decided to undertake surgical and other changes to live as a man. After telling his family, the newly chosen chairman made an announcement of a sort rarely, if ever, heard at community boards.
The response was accepting, he and a colleague recall. "People knew him before and knew what kind of person he was," member Madge Rosenberg explains.
But there were some alienating moments during Wymore's roughly two-year transition. At times he sensed other people's awkwardness as they stumbled over whether to use "he" or "she," or felt hurt when a women's book group stopped inviting him for fear of seeming to dismiss his identity shift.
The experience made him more determined to advocate for the disabled, the elderly and others who feel overlooked — in other words, everybody, Wymore says.
After all, "everyone feels excluded some time or another, for some thing or another," he said.
Wymore's opponents include Green Party candidate Tom Siracuse and several Democrats: restaurant executive Ken Biberaj; Democratic Committeewoman Debra Cooper; Noah Gotbaum, founder of the volunteer group New York Cares and a son of a prominent labor leader and stepson of a former city public advocate; Democratic district leader Marc Landis; and former community board chairwoman Helen Rosenthal. The Democratic primary is in September, and the general election is in November.
No one, contender or constituent, mentioned Wymore's personal story at the recent candidate forum. And that's just as he'd like.
"For me, it's really about the work at hand," he says.
Just wanted to point out that the deadline to submit photos is September 1st. Everyone still has time to send in their favorite pictures! Can't wait to see the calendar!