Fixing Our Broken Healthcare System
Good health and good sense are two great blessings. And America needs them. Sadly, our healthcare system is challenged (to say the least) and does not necessarily help make us healthier.
The U.S. spends twice what other developed nations do on healthcare. But our results are far from twice as good. We have the lowest life expectancy and the highest infant mortality rate among our developed peers.
Our high healthcare spending isn’t because Americans go to the doctor more. In fact, we go less – only four times per year compared with five to 13 visits in other developed countries. Yet we still pay more. Why?
In short, our healthcare system puts the patient last. It’s controlled by massive insurance monopolies and hospitals.
Insurance companies and hospitals negotiate everything with each other. Patients can’t shop around for the best option.
The bill comes after treatment. Even with insurance footing 90% of the bill, paying close to $10,000 for a surgery or other serious treatment when it’s all said and done isn’t uncommon.
But for the hospitals and insurance companies, the more they charge, the more money they receive from the government. The only party that has an incentive to pay less is us. Yet we are the only ones not at the table.
But there is hope. As usual, private industry is always better at meeting consumer needs than any government system…
The digitization of healthcare is a prime example. By eliminating redundancies, streamlining record keeping and improving communication, going digital lowers prices.
Companies like Allscripts Healthcare Solutions (Nasdaq: MDRX) make healthcare more affordable and are a great way for investors to profit in this sector.
Allscripts in particular integrates clinical software and financial information, and it improves connectivity between doctors, hospitals and pharmacies.
And that’s just the beginning. There are many more innovations in the healthcare sector coming our way soon. To stay up to date on a wide range of investing opportunities, sign up for our free Investment U e-letter below.