Friday, October 17, 2008

Why Government Health Insurance Doesn't Work..


Aloha !! Your Kid Now Has No Health Insurance......
Let this be a preview/warning to those of you who are looking forward to the Democrats taking over in DC and taking care of your Health Insurance... As you probably know, some states have decided to take over health insurance on their own. Well, one of them has already gone out of the business - after only 7 months......
In the Aloha State of Hawaii, they are dropping the program that pays for the health insurance of kids, due to a lack of funds. For those of you who haven't figured this out already, governments often spend too much - and sometimes more than they actually have. This is what happened in Hawaii. The economic downturn played a part in the financial mess, but there was another problem, and this is what many Pro-Government people don't realize...
When a state or city decides to go into the health insurance business, they expect to cover those who don't have coverage. But the fact is, many people who have coverage end up dropping their own coverage, and pick up the state plan instead. Why pay for insurance when it's free, right? So, more people are in than the state expects, the costs run amok, and the money put aside for it runs out. Then they go broke, and drop the plan. Then all those people who had coverage now no longer have it. This is EXACTLY what happened in Hawaii......
Thanks to the well-intended but misinformed politicians in Hawaii, and probably soon to be other areas, there are now thousands of kids who had health insurance that are now uninsured. So, how do we avoid it? How the heck should I know? I'm no genius, but it seems to me that it is almost impossible to insure every American. There is just too much room for fraud, and too little oversight to stop it. But, I'm sure someone will try again - and sooner than you think....
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2 comments:

Anonymous said...

well, it isn't working very well right now skippy, so something needs to be done, but done the right way. maybe it's time we start setting our pride aside and looking at works well for some other countries.

Thoroughbred 401k said...

Two words: greed and fraud. Just because something is covered doesn't allow Drs. to run a bill up. I have about $1000 in uncovered stuff for 4 total visits that didn't help me at all.

Look at Medicare's rising costs. Those are just expenses for seniors. What will it be like if we covered everyone?