War is peace. Freedom is slavery. Ignorance is strength.

California seems to be getting jittery that when Obamacare takes hold next January, there won't be enough doctors in the state to treat the expected number of new insured patients.

“Some lawmakers want to fill the gap by redefining who can provide healthcare.  They are working on proposals that would allow physician assistants to treat more patients and nurse practitioners to set up independent practices. Pharmacists and optometrists could act as primary care providers, diagnosing and managing some chronic illnesses, such as diabetes and high blood pressure.”

[via Instapundit]

In this case, California may be awakening to the false promises of Obamacare.  Because in the real world, it has become increasingly apparent that Obamacare can’t be installed as written; that Fed regulations are impediments to its effective management; that the result will more likely be increased, rather than reduced, cost of medical delivery; and that therefore Obamacare is more likely to raise rather than lower everyone’s medical and insurance costs.

What to do?  It now occurs to California that maybe it could REDEFINE “medical care”.

So the California legislature will consider whether you really need a doctor if you are a diabetic. Or whether you can get perfectly fine medical attention from a nurse practitioner’s independent practice.  In California, anyway.

The public needs to know much more about this  - and I’m sure we will.  But right now, the legislature is sorta asking Californians to believe that this here Smartcar is actually a fine modern automobile.

We get mail!

A reader sends along this link to Avik Roy's take on the ObamaTax Medicaid expansion, and asks:

"What was that again [about] how medical costs cause premium hikes?"

Of course, we always welcome feedback, and appreciate the opportunity to reinforce our long-stated (and well-proven) positions.

I replied:

"Interesting article - Thanks!

Still don't see how that contradicts our position: increasing medical costs cause higher insurance costs. And of course other things also cause increased insurance costs. But the reverse is not true: increasing insurance costs don't cause higher health care costs.

Again, nothing in that article contradicts this very basic, very obvious observation."

Mike had a slightly different take:

"I think your correspondent is just being obtuse.

Of course increasing enrollment increases overall insurance expense.  Doesn't it always?  Specifically, ACA will cause Medicaid enrollment to increase.  This means the overall medical cost for the Medicaid population will be greater than its overall medical cost is today.  Why would it be otherwise?

[Avik] Roy makes the point that ACA - by increasing the Medicaid population - will increase the cost shift to private insurance, so private insurance premiums will experience higher trend and therefore private insurance premiums will be higher.

In other words, higher private sector insurance cost result directly from the Medicaid medical costs shifted to the private sector.

And so, it's medical cost that drives insurance cost.  Exactly what we have been saying for years and years.

The difference here - which your correspondent does not recognize - is that additional Medicaid medical cost will be shifted to private insurance.  That means the private insurance premiums will bear the impact.  Clearly that doesn't prove medical costs don't drive medical premiums.  Instead, it illustrates that very point.  And it reveals once again the ongoing failure of government meddling to accomplish anything constructive about overall medical costs in the first place."

Bob also weighs in:

"About that cost shifting ...

Medicaid = lower reimbursement = cost shift to private patients = higher insurance premiums

Of course we all (should) know this, but Medicaid is a Catch 22:

If the government doesn't provide health insurance for those people, they still get sick and those unpaid bills are shifted to private pay. With Medicaid, only a portion of the bills are shifted to private pay with the rest picked up by taxpayers.

Rearranging the deck chairs.

The issue with Medicaid expansion is, even though DC will print magic money to fund the expansion for 5 years (or whatever the time frame is) after that point the burden falls on the states their "fair share."

As I said, I have the best co-bloggers.

Belated Blogiversary!

Can't believe I missed this, but - about a week or so ago - InsureBlog turned eight.

5,600+ posts and countless comments in, and still going strong.

My hearty and heartfelt thanks to the best co-bloggers in the 'sphere: Bob, Mike, Nate, Kelley and Bill, y'all are terrific, and I'm honored to share pixels with you.

And, of course, to our many, many readers: Thank You!

The MVNHS© and The Obamatax

Here's a cautionary tale of what happens when you put the government in charge of health care:

"Britain was rocked this week by one of the biggest scandals in the recent history of its health system ... The report, which examined conditions…over a 50-month period ... cites example after example of horrific treatment: patients left unbathed and lying in their own urine and excrement; patients left so thirsty that they drank water from vases; patients denied medication, pain relief and food by callous and overworked staff members"

And the list goes on (and on).

It's all about - what else? - cost control. As regular readers know, the Much Vaunted National Health System© (and its ilk) are simply no better at controlling spiraling health care costs than our own soon-to-be-dismantled system. Which doesn't stop unelected and unaccountable bureauweenies from playing God, of course:

"It’s a textbook case of how structural incentives in government-dominated health care systems can lead to terrible outcomes."

Coming soon to hospitals near you.

Georgia On My Mind

The Peach State (wisely) opted out of Medicaid expansion and HIX (Health Insurance Exchange). But according to an article in the AJC (Atlanta Journal Constitution) it seems the DOI and legislature want a hand in running HIX.

State lawmakers are calling for the licensing of health insurance navigators, who will help uninsured Georgians and businesses use the new federally-run online health insurance exchanges beginning this fall.

AJC

I thought the Golden Rule was in play here.

Those with the gold get to make the rules, and since HIX will be run by the feds, using their (our) money, seems like they can set the criteria, not the local boys.

“We support any effort to insure that individuals who may provide insurance advice to Georgia citizens are qualified to do so,” Georgia Insurance Commissioner Ralph Hudgens said in a statement.

Under the bill, navigators would be required to go through 35 hours of training to be licensed and participate in continuing education to renew their licenses.

All well and good but I guess someone, possibly me, is missing the point since HIX in GA will be a federal employer.

Also of concern, Zeldin said, is language in the bill that limits navigators to only working with people and businesses that don’t currently have insurance.

“That seems more driven by a concern that it would take a commission away from (an insurance) broker…rather than the best interest of the consumer,” she said.

Another good idea that will benefit both the consumer and agent, but isn't it presumptious to think the Georgia gang get's a say in this matter?

What am I missing here?

Assurant Obamacare Woes

The Assurant Health unit, which focuses on serving individuals and small employers, earned $200,000 on $389 million in net earned premiums, down from $23 million in net operating income on $446 million in net earned premiums.

Health insurance sales were flat, in part because of lower employer group sales, the company said.

Life Health Pro

Assurant has a 100+ year history and was one of the first carriers to write health insurance, even preceeding the Blue's. They have been attempting to remake themselves into a supplemental lines carrier and I believe they have a chance of succeeding in that regard.

But I also believe their days in the major medical and small group business are numbered . . . and it is all because of Obamacare.

Assurant remains optimistic that it will be able to "take advantage of the potentially large market opportunity created by health care reform," Pollock said.

And that market will be ancillary lines such as dental, accident and critical illness plans.

HealthTech Update

Even as the ObamaTax takes a bite out of medical R&D, some folks continue to develop cutting edge health care solutions. Cases in point:

■ We're all familiar with those MedicAlert bracelets (and even tattoos!). Now, ScanMed QR has come out with a smart-phone app that promises to digitize this often vital info. It's pretty remarkable, especially since one can "dynamically enter, edit and change information." The company plans to market the app's associated devices through pharmacies and other retail outlets.

■ FoIB Holly R tips us to this somewhat creepy new technology:

"Autodesk is developing CAD tools that can design new blood vessels, liver tissue and other replacement parts for the human body in collaboration with 3-D bioprinter company Organovo"

The idea is that, someday, we can actually print out organs in real-time. The tech is still in its infancy (heh!), but seems promising.

On the other hand, imagine the cost of replacing those printer cartridges.

■ Finally, one more smart phone-related item:

"[W]ould you want to know in under 10 seconds if your daughter, wife, mother or other loved one was in danger and needed assistance?"

Well, Clandestine Development has, er, developed a personal safety application for iPhones and Androids (sadly, my brand new 2007 tech phone isn't on the list). It touts the product as "the only app that utilizes patent-pending IntelliTouchTM technology, which activates upon natural, human reaction and responds instantaneously without requiring the users interaction to emergency situations."

But don't just take our word for it: