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Health care savings, coverage for all could lower spending $1.5 trillion over 10 years
Date:12/17/2007

patients care.

  • Center for Medical Effectiveness and Health Care Decision-Making: Investing in the knowledge needed to improve health care decision-making; incorporating information about relative clinical and cost effectiveness into insurance benefit design; and including incentives for providers, payers and consumers to use this information. An estimated $368 billion could be saved by all payers over ten years.

  • Public HealthReducing Tobacco Use: Increasing federal taxes on tobacco products by $2 per pack of cigarettes, with revenues to support national and state tobacco programs, could yield an estimated $191 billion savings over 10 years, shared by all payers.

  • Strengthen Primary Care and Care Coordination: Improving Medicare reimbursements to primary care physician practices to support enhanced primary care services, such as care coordination, care management, and easy access to care. Such a "medical home" approach could result in net health system savings of $194 billion over 10 years if all Medicare fee-for-service beneficiaries were enrolled. Estimated national savings would be larger if this approach were adopted by all payers.

    If we continue down this path of escalating costs and eroding health insurance coverage we will pay an enormous human and economic price, said Commission member Glenn Hackbarth. Building consensus to move in a healthier direction will require leadership, private and public collaboration, and a shared aim at improved access, quality and cost performance.

    Methodology

    The Commonwealth Fund contracted with the Lewin Group to estimate the potential effect of each option with a focus on total national health expenditures and the distribution of expenditures across payers the federal government, state and local governments, private employers, and households. The Lewin Group is one of the leading health care and human services consulting firms in the U.S., with more
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    • Contact: Mary Mahon
    mm@cmwf.org
    212-606-3853
    Commonwealth Fund
    Source:Eurekalert

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