3. Common Explanations for
High Health Care Costs
• Inadequate Prevention • Fee-for-service: overuse of tests and
• Behavioral factors procedures
– High obesity rate • Lower cost transparency
– High smoking rate • More third party insurance payers
– High levels of drinking • More physician visits
• Racial and Ethnic Makeup of the U.S. • More ER and hospitals visits
• Aging population • More Medical Malpractice lawsuits
• End of life care • Worse electronic health records
• Chronic Illnesses • Higher Cost of drugs
– High cancer rates • Higher cost of medical devices
– High diabetes rates • Too much hospital bargaining power
– High heart disease rates • More profits
• Overuse of technology (e.g. MRIs, CT • More administration/paperwork
scans, etc) • Higher physician/nurse pay
• Use more prescription drugs
4. Common Explanations for
High Health Care Costs
• Inadequate Prevention • Fee-for-service: overuse of tests and
• Behavioral factors procedures
– High obesity rate • Lower cost transparency
– High smoking rate • More third party insurance payers
– High levels of drinking • More physician visits
• Racial and Ethnic Makeup of the U.S. • More ER and hospitals visits
• Aging population • More Medical Malpractice lawsuits
• End of life care • Worse electronic health records
• Chronic Illnesses • Higher Cost of drugs
– High cancer rates • Higher cost of medical devices
– High diabetes rates • Too much hospital bargaining power
– High heart disease rates • More profits
• Overuse of technology (e.g. MRIs, CT • More administration/paperwork
scans, etc) • Higher physician/nurse pay
• Use more prescription drugs
5. Common Explanations for
High Health Care Costs
• Inadequate Prevention • Fee-for-service: overuse of tests and
• Behavioral factors procedures
– High obesity rate • Lower cost transparency
– High smoking rate • More third party insurance payers
– High levels of drinking • More physician visits
• Racial and Ethnic Makeup of the U.S. • More ER and hospitals visits
• Aging population • More Medical Malpractice lawsuits
• End of life care • Worse electronic health records
• Chronic Illnesses • Higher Cost of drugs
– High cancer rates • Higher cost of medical devices
– High diabetes rates • Too much hospital bargaining power
– High heart disease rates • More profits
• Overuse of technology (e.g. MRIs, CT • More administration/paperwork
scans, etc) • Higher physician/nurse pay
• Use more prescription drugs
6. Common Explanations for
High Health Care Costs
• Inadequate Prevention • Fee-for-service: overuse of tests and
• Behavioral factors procedures
– High obesity rate • Lower cost transparency
– High smoking rate • More third party insurance payers
– High levels of drinking • More physician visits
• Racial and Ethnic Makeup of the U.S. • More ER and hospitals visits
• Aging population • More Medical Malpractice lawsuits
• End of life care • Worse electronic health records
• Chronic Illnesses • Higher cost of drugs
– High cancer rates • Higher cost of medical devices
– High diabetes rates • Too much hospital bargaining power
– High heart disease rates • More profits
• Overuse of technology (e.g. MRIs, CT • More administration/paperwork
scans, etc) • Higher physician/nurse pay
• Use more prescription drugs
7. Disease Prevalence:
U.S. vs. Peer Countries
Other 97%
Back problems 91%
Osteoarthritis/joint disorders 86%
Diabetes melitus 122%
Hypertension 77%
COPD, asthma 67%
Mental disorders 98%
Cancer 105%
Trauma-related disorders 106%
Heart conditions 95%
0% 20% 40% 60% 80% 100% 120% 140%
8. Disease Prevalence:
U.S. vs. Peer Countries
Other 97%
Back problems 91%
Osteoarthritis/joint disorders 86%
Disease
Diabetes melitus 122% prevalence
Hypertension 77% =
$57 to $70
COPD, asthma 67%
billion savings
Mental disorders 98%
Cancer 105%
Trauma-related disorders 106%
Heart conditions 95%
0% 20% 40% 60% 80% 100% 120% 140%
14. How Universal Health
Care Is Paid For
Fixed Payroll Tax Negotiated Budget
Government Health Care
You Fund Providers
15. How U.S. Health Care
Is Paid For
Medicaid
Taxes Medicare
Separate contracts
Blue Cross
Premiums Tufts Medical Insurance
You Out-of-Pocket Costs
Health Care
Providers