« Tax Deductible Health Savings Account Insurance | Main | Rhode Island to Finally Get Health Savings Accounts »
August 15, 2005
Health Savings Accounts bring consumerism to Medical Care
An estimated 7 million people will own Health Savings Accounts (HSAs) by year end. These consumers will be asking healthcare providers all kind of questions about the quality and cost of treatments - questions that they haven't asked in the past. As this trend grows, an efficient and competitive marketplace will be created for healthcare, just as it exists for computers, food, or any other product or service.
This will shake up the medical world which has become used to consumers not caring about the cost of a drug or procedure, because their out-of-pocket was only $20. But in fact, docors visits are much more expensive than that, and are being paid for in the form of high premiums or companies deciding not to offer health insurance to their employees.
The results of this massive shift towards Health Savings Accounts will be what you might expect when people have to be responsible for their behaviors. We will see a marked increase in people's awareness about their family's health and their health care consumption. Individuals who are motivated to make more intelligent decisions about their lifestyle habits, and their purchasing of healthcare will be rewarded with more money, and of course better health.
Humana CEO Michael McCallister recently said that he is more convinced than ever that consumer-driven plans and the philosophy of individual responsibility will carry the day on reforming large segments of the health care industry. I agree - HSAs will change the country.
Posted by Wiley Long at August 15, 2005 08:54 PM