Deductibles. In-network. Out-of-network. Premium health services. Out-of-pocket expenses. Co-payment. Shared insurance. Benefit advisers. Insurance brokers. Healthcare consultants. ACA. HMO. PPO. EPO. POS. HDHP. Health Savings Account. FSA. Health Reimbursement Arrangement. Explanation of Benefits. COBRA. SHOP. Individual coverage. Dependent coverage. Insurance subsidies.
Confused? You should be. Who understands this complex system? Certainly not the average entrepreneur. Neither the average employee. Selecting the right medical coverage for our business – or for households – appears to require demands advanced expertise in medical insurance.
Our Medical System Is More Than Complicated, It Is Costly
According to a recent study, typical households pays $twenty-seven thousand each year on medical coverage (increasing by 6% compared to last year). Typical company healthcare expense is expected to exceed $17,000 per employee by 2026, a 9.5% jump from 2025.
Currently the government is shut down because political disagreements regarding subsidies that experts say could cause premium increases up to 100% for numerous US citizens.
When Might We Truly Examine National Health Insurance?
How soon might we genuinely evaluate universal healthcare coverage in the United States? I'm convinced we're getting closer because this can't continue.
I'm not suggesting national healthcare. I'm advocating that our already existing Medicare system – an established insurance framework – simply expand to cover everyone. The existing system remains intact. How our healthcare providers receive payment would change. Trust me, they'll adapt.
The Way Universal Coverage Could Function
A national health insurance program would need contributions from both employees and employers. In comparable systems, a worker earning average wages must contribute about five point three percent toward medical coverage. Their employer must contribute about 13.75%.
Does this seem like a lot? Unless you contrast that with what the typical American pays. I know multiple businesses who are easily contributing between 8% to 15% of payroll costs to their healthcare costs. Remember that in inclusive programs, those payments also cover retirement benefits, illness coverage, parental benefits and job loss protection along with supporting medical services. When including these expenses compared with our current spending for our retirement plans, unemployment insurance and vacation benefits, the difference decreases.
Execution for America
In the US, universal healthcare funding would raise our Medicare tax deduction, a system already established. It ought to be income-adjusted – wealthier individuals would contribute higher amounts than lower-income earners. There would be both worker and company payments. Similar to much of our government's defense, IT, social programs and transportation services, the system could be managed to third-party administrators rather than federal agencies.
Benefits for Small Businesses
Universal healthcare coverage represents a significant advantage for small businesses like mine. It would place us on a level playing field with our larger competitors that can pay for better plans. It would render management much easier (automatic payroll withholding remitted like social security and Medicare taxes, rather than individual transactions to benefit firms and coverage administrators).
It would make simpler for us to budget annual expenditures, rather than going through the complex (and ineffective) process of negotiating with the big insurance providers that we must do each year. Due to simplification, there would be a better understanding of coverage by our employees – as opposed to the current system which require them to decipher the complications of existing plans. And there would definitely exist reduced responsibility for employers since we wouldn't would be privy to workers' health histories for purposes of risk assessment and alternative plans.
Free-Market Viewpoint
I'm as pro-market as they get. But I've learned that public institutions play important functions in our lives, from providing defense to supporting essential systems. Providing healthcare for everyone through a national insurance system strengthens our economy's infrastructure. It represents superior, easier system for small businesses that employ more than half of American employees and generate half of our GDP. It enables employees to be healthier, come to work more often and increase productivity.
Considering Challenges
Are there numerous factors I haven't covered? Of course there are. But with all the healthcare cost increases we've seen in recent years, it's evident that current healthcare legislation is not working effectively. And I realize that we're not a compact European nation where major reforms are easier to implement. But expanding Medicare for all, despite increased taxation required, would still be a better and less expensive strategy both for controlling healthcare costs but providing access for all citizens.
Time for Honest Assessment
We as Americans, must reduce our own arrogance. Our healthcare system isn't so great. We rank significantly behind many other countries in healthcare quality in the world, based on major studies. Maybe one positive aspect in this present circumstances could be that we undertake a hard look at ourselves and acknowledge that big changes are necessary.
