Word from the White House: Health CEOs Confirm Reform Lowers Costs
04:21 PM EST
It's no secret that institutions of all stripes focus their communications on certain messages day to day. We thought it would all be a little more open and transparent if we went ahead and published what our focus will be for the day, along with any related articles, documents, or reports.
Supporting letter: CEO Work Group on Health Reform, 12/8/09 (pdf)
Supporting letter: David M. Cote, CEO, Honeywell, 12/7/09 (pdf)
Talking Points: Health CEOs Confirm Reform Lowers Costs
- CEO's from several sectors of the health care industry – healthcare provider groups, hospitals, physician groups, insurers – have put out a letter praising health insurance reform legislation and saying that it will improve quality and lower costs.
- Like the economists who yesterday reported that reform will save a typical family $2,500, these health care executives write that the CBO underestimated the impacts of reforms aimed at promoting best practices and reducing costs.
- Due to problems with structure and incentives, the current system "both inflates and obscures true costs," the CEOs write. "Both pending bills counter this in several important ways."
- In fact, the CEOs say, "proposed legislation underestimates the power of its provisions." Savings and improved quality may "happen faster than policy makers believe."
- Among the crucial reform measures the CEOs cite:
- "Mechanisms for enabling systemic changes that allow our health care delivery system to provide more affordable, better integrated and higher quality health care."
- "Provisions... that will allow doctors, hospitals and healthcare providers to collaborate in sharing costs, responsibility and savings in ways that our current regulations prohibit."
- Measures that make it easier for physicians to coordinate care, which will lower health costs and improve quality.
- The current health reform effort, the CEOs conclude, "represents a once-in-a-generation opportunity to avert the stark and draconian consequences of inaction."