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The White House Blog: Health CEOs Confirm Reform Lowers Costs

Jesse Lee on - The White House Blog
2009-12-08

Photo By Luis Trevino, Used By Permission



Washinton - 12-09It'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.

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."







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