Health Insurance Articles
How Private Health Care Will Differ From Public Options
2010-06-05
With new legislation for healthcare currently in the final stages of development, many Americans wonder what the new landscape of healthcare will look like. Some fear that public healthcare will overrun the current private healthcare system, resulting in longer wait times and decisions about care based on rulings by faceless government boards. Others are concerned that public care will still not offer enough coverage to support them, despite months or even years without reliable coverage due to a pre-existing illness or lack of employment. While it is not yet known to what degree then new legislation will affect all aspects of the American healthcare system, there is no question that private healthcare, and any health insurance policy issued under that system, will be significantly different than it is today.
The most important thing to understand about the public/private divide is that public health care is intended to be a supplement, not a replacement, to private coverage. For many Americans who have steady and reliable private coverage, no immediate change will be noticed. Their plan will continue to operate, and their premiums should remain relatively stable. The new public healthcare will instead benefit those who cannot afford typical health care coverage, or who are being unfairly treated by their current provider. Public health care will not supplant the private systems in place, but will offer one more alternative in the market. While it will be less expensive than most private options, it will likely not have the same selection of doctors nor will it provide all of the same treatment options. The goal of the public health care option is to ensure that all Americans are reasonably covered.
In addition to offering a service to those who need it, public coverage will also be used as a watchdog for current private companies. Companies will be held to a higher standard of care and customer interaction, both legislatively by the government and by virtue of the fact that their clients will leave in favor of public healthcare if the private healthcare sector cannot offer a good enough deal. By setting out certain basic policies and rules of treatment that every plan must cover, the government hopes to create an environment in which consumers receive the best value for their money, but the market remains competitive.
It is uncertain how successful the new legislation will be, but no matter the eventual outcome, it will change the way in which every American's health insurance policy is managed. Though immediate changes will likely not be noticed, the landscape of healthcare in the Unites States is poised to change substantially within the next 10 years as the public insurance industry gains ground.
