Health care remains one of the most important human needs. Times have seen healthcare stakeholders in America increase. Times of antiquity were characterized by individual contributions in the pursuit of medical services. The introduction of Medicare in 1965 may be regarded as the genesis of subsequent Healthcare reforms (Miller 117). Competitiveness has enhanced the formation of private insurance companies. The underlying factor that governs the formation of such companies is profit maximization. Most of these companies are geared towards making Healthcare affordable to most Americans.
However, America has over the years placed much emphasis on large scale reform. Individual-oriented reform is considered the key towards the realization of sustainable healthcare (Stephens 100). A participatory approach is therefore paramount in the healthcare sector. This paper gives an outline of what lies ahead in the healthcare sector. The impacts of these developments are also discussed.
The growing demand for specialized and affordable healthcare saw the introduction of Medicare in 1965. It is unfortunate to note that prior to this, about 50% Americans were uninsured. Statistics indicate that about 47 million Americans are uninsured today. The greatest percentage (about 83%) is formed by the older generation (Stephens 103). Matters are made worse by the fact that they contribute about 16.2% of their personal income towards healthcare. The inception of Medicare has not addressed the lowering of healthcare costs. In fact about $ 523 billion was spent on healthcare in 2010 alone (Dean 51).
The realization of the Healthcare Reform is crucial if the underlying medical concerns are to be addressed. The Patient Protection and Affordable Care Act was enacted in 2010 to address the disparities that exist in pursuit of affordable health ((Stephens 104)). The Independent Advisory Board was initiated with an aim of spear heading a successful transformation. Political and stakeholder interests had negative influence on the realization of Healthcare Reform.
Members of the board were selected on the basis of political and healthcare affiliations. Prohibitions such as tax increase, change of medical benefits and beneficiary premiums increase were imposed against the board members (Miller 126).
The reform plan stipulates that medical professionals will increase due to introduction of home-care facilities, increased screening facilities and advanced preventative care facilities. (McCracken 79) It is important that nurses and doctors are actively involved I the reform agenda. The Reform stipulates that increased medical needs will be countered by the hiring of more medical professionals.
The training and retention of more professionals is expected to follow. The professionals should be aware of their responsibilities, compensation plans and benefits as stipulated in the Reform. A clear understanding of the provisions of the Act is vitally important (Dean 53).
It is important to note that patients contribute 100% towards purchase of drugs. Reform implementation will enhance the reduction of drugs cost by 50% and 7% for brand-name and generic drugs respectively (McCracken 80). It is also worthwhile to realize that individual contribution towards purchase of drugs will not surpass the 25% benchmark till 2020. Centers for Medicare and Medicaid Services (CMS) will be established (Dean 55).
Consequently, Americans will get access to improved quality care. Home-based primary care facilities, community based transition programs and accountable-care organizations will be introduced by 2012. This will ensure that cost accountability is nurtured. Free preventative screenings will avert complications that accrue from emerging diseases such as cancer and other cardiovascular diseases. It is expected that the actualization of a comprehensive risk assessment and personalized 5-to-10 year prevention plans will be complete this year (McCracken 83).
The realization of Healthcare Reform will carry with it several advantages. It is expected that 80 million Americans will be Medicare beneficiaries by 2030 (Dean 62).The ratio of workers per beneficiary currently stands at 3.5. The implementation of the Reform will see a reduction of this ratio to 2.3. Medicare annual costs will be reduced from $943 billion to $ 843 billion by 2030 (McCracken 87). More affordable drugs, improved quality care and preventive medical screenings are benefits to be enjoyed by older adults.
It is important that enough funds are injected into the healthcare sector to ensure that all proposals are implemented. Administration costs incurred by private insurance companies are expected to reduce. This will ensure that about 85% of the funds are directed towards healthcare programs. Medicare Advantage and hospital readmission costs are expected to drop by 2014 (McCracken 90).
Tax administration is expected to change as more taxes will be levied (Dean 69). People’s future withdrawal from a health savings will attract a tax burden of 40% as opposed the present 20%. Employer-sponsored health plans also be taxed at a rate of 40%.In addition, unearned income such as dividends and royalties will be taxed at a rate of 3.8% by 2013 (McCracken 94).
The un-insurance problem is expected to reduce as a result of Healthcare Reform. However, the Reform will have some cost, tax-base and production implications. The tax burden will increase as more funds will be sought. Statistics indicate that the 48 un-insured Americans will cost each American worker $ 36 per month. The tax burden will consequently increase from $ 927 to $2101 for families and $1854 to $ 2776 for singles (Stephens 105). Productivity levels will increase.
The un-insurance problem has negatively affected the production levels in most organizations. The Reform realization will ensure that lost work days become part of the history. Statistically, 20% avoidance of lost work days translates to a saving of 160,000 workdays. This means that production levels go up.
The un-insurance problem has had negative ramification on Emergency Departments (ED). Financial losses, over utilization of facilities and increased uncompensated care are common phenomenon. This has been caused by reduced Medicare coverage. The implementation of the Reform will ensure that all these problems are averted (Miller 129).
It is important to appreciate the medical interventions that have accrued from the inception of Medicare. It has always been argued that a healthy nation is a working nation. It is however ironical to note that the health care has remained to be one of the major hindrances towards economic productivity. Most people are employed but cannot afford to pay for primary healthcare. The Patient Protection and Affordable Care Act 2010 was enacted to capture the interests of all Americans.
The implementation of this Reform is not only the responsibility of the Federal government. Rather, all medical professionals and citizens need to be actively involved. A clear understanding of the provisions outlined within the Act is paramount. Citizens should also be aware that primary healthcare is important. Co-operation in tax administration and healthcare prioritization is vital. Taxes will be increased consequently. However, production levels will increase. Economic growth will therefore increase. Healthcare will also be improved, made cheap and accessible to all Americans. The un-insured problem will be no more in years to come.
Works Cited
Dean, Howard. Howard Dean’s Prescription For Real Healthcare Reform. Chelsea Green Pub. Company, 2009, Pp. 50-70.
McCracken, Amos. Medicare, Healthcare and Older Adults. Journal of Gerontological Nursing, 3 (12), 2010: 78-95.
Miller, Frederic. Healthcare Reform. Publishing House Ltd, 2009, Pp 115-130.
Stephens, James. Real Healthcare Reform: Focus on Primary Care Access. Journal of Research and Perspectives on Healthcare, 88 (4), 2010: 98-106.