Siu Lai Chow says:

Healthcare cost tops 2.5 Trillion dollars this year in the USA. With a population of 305 million people, that is $8,200 per person. In SF Bay Area, one of the wealthiest areas in the country has a maiden Per Capital Income of $36,800. If the healthcare cost is outrages to us, it is just more so when apply to the rest of the country.

Can you can image spend $8,000 dollars at your visit to a doctor? Is it worth the cost? Of course we have insurance, but somewhere someone including us is paying for the $8,000. Insurance is a system for everyone pays a little more, so the few needed more don’t have to pay entirely by themselves. It is no different from going to restaurant with a group of people and just simple split the check. Someone order an expensive item has a benefit at the cost of their friends each pay a little bit more. When it is with friend we are Okay with this. But most of the other members in the insurance system are not. With an average Insurance cost at $3,000 per year, plus the matching cost of employers to the insurance plan. With price so high already it is not too hard to see people have a tendency to make the visit to a healthcare facility worth cost they already paid, by order the best medicine money can buy and the most costly check up and treatment insurance can pay. Healthcare carrier has no problem with this as long as the insurance company pays; drug and medical equipment company enjoy the additional revenue by higher demand, and Insurance company just increase the premium to everyone. The worst part is no real alternative to the general public. In all we end up with a 2.5 Trillion bill and every one of us is the loser to the system. On the top of it we have 40 million American live without insurance.

The under-regulated Insurance system is the reason leads us to this mess. Current system has no incentive to anyone to save cost. It is like there is no constrain in the resource we spend on Healthcare, the demand is of course goes to the roof and so as the cost.

Protecting the country wasteful expenses from health insurance is out-weighting the benefit of the free market policy to protect the insurance companies.

Bottom Line: The solution to our healthcare problem relies on government intervention not the free market competition.