Health insurance is a necessity that pertains to the general population. Health insurance has been around for decades and
has served people during their time of medical needs. Lately consumers are left in deep trenches by their health insurance
providers because of the companies’ increase in premiums. There are several questions in need of solving: Why? Who is
most affected? From further facts, it should be known that profit is the real agenda for the insurance companies. Next we
can look at one alternative supported by the Democratic Party, a universal healthcare system.
As defined by Encyclopedia Britannica, "All health insurance is a form of risk management. According to Encyclopedia Britannica,
"Health insurance covers a variety of costs. Some policies cover a stay in the hospital and services offered by the hospital.
Surgical expense coverage provides benefits for surgery resulting form illness or accident. Beyond this, a policy may cover
what are called regular medical expenses, including doctor’s fees home nursing, diagnostic tests, and ambulance service.
Some policies also cover prescription drugs."
There are numerous health care companies which are either independent profit making insurers or nonprofit policies established
by fraternal societies. Take for instance Blue Cross-Blue shield plan. This type of plan is the best known nonprofit plan
in the United States. In this plan, policy holders’ medical bills get dissected into two-way payments: Blue Cross directly
pays the hospitals and Blue Shield directly pays the physicians. Just because these companies are labeled as non-profit, don’t
always assume this to be the case. According to the AAPA, American Academy of Physician Assistant, "one of the major goals
of even nonprofit insurers, such as Blue Cross/Blue Shield, is to increase their cash reserves (the equivalent of profit to
a nonprofit company)."
Most health care companies are independent profit companies where the policy holder’s medical payments are directed
to the policyholders, which then are responsible for paying their medical bills. Such companies are Kaiser Foundation, The
Prudential Insurance Company of America, and United Health Care Insurance Company.
According to the NewsHour Extra, Jan. 22,2004, universal healthcare is available health care for citizens through provisions
from the government. Such a system is beneficial in that it ensures that everyone is covered. The down side to this system
is higher taxes. This is just where opponents find reason to debate against such a plan.
The blame for this increase is the rise in medication. In their July 17, 1992 • Volume 2, Number 26, The CQ press
(The CQ researchers) states: "prices for prescription drugs have risen nearly three times faster than prices for other
products. And drug prices rose even faster than other health-care services. The drug industry's annual average 15.5 percent
profit margin more than triples the 4.6 percent profit margin of the average Fortune 500 company,"
I don’t buy it for a moment that the insurance companies and the pharmaceutical companies work independently from
one another. I feel that the pharmaceutical and insurance companies are in bed together. Throughout the years there have been
massive discoveries in the field of pharmaceutical medicines and both companies are taking advantage of the mass.
A universal health care system is remedy for the soaring health care costs that we are currently experiencing. If this
system becomes effective, our government will have a stand against any ridiculous soar in medication cost. Therefore pharmaceutical
companies wont be dealing with another body of company (which is also in need of profit), but they will be dealing the government
body. In a way this is a method of checking and balancing.
