Benefits of National Health Care Reform - Essay Example

? National health care reforms Health care system in the US has seen sweeping reforms with the most recent being the enactment of Patient Protection and Affordable Care Act (PPACA) and the Health Care and Education Reconciliation Act of 2010(H.R 4872). This paper brings to light the benefits to be accrued by the national health care reforms. It is necessary to state at the onset that national health care reforms would lead to the creation of wealth through increased productivity. Companies would also be required to contribute to the health of their staff thus the nation stands to gain from entrepreneurial rent. Healthcare is a national concern given that more than 46 million Americans did not have insurance cover by 2008 with many more millions being under-insured. The healthcare has been the center stage of politics, and the 2008 presidential campaigns were no exception (Forman, 2009). Taking a trip down the history lane could perhaps help to understand this fact better. As early as 1912, Theodore Roosevelt’s party campaigns had health insurance industry as one of its key focus. It seemed the next logical thing to do after workers compensation. During that year, National Insurance Act was passed and a Committee on Social insurance formed. By 1915, the committee had recommended some proposals to offer universal medical cover. In 1915, progressives campaigned for compulsory health insurance in the states. However, in 1917 US declared war on Germany and soon enough, the compulsory health insurance became history. The argument against the health care plan was that it was a foreign idea “born in Germany”. It thus became hard to convince the voters, in states such as California, to ratify an idea “born in Germany”. In the 1920s, the Committee of Medical Care put forward a number of options including group medicine and voluntary insurance, a move that critics opposed calling it a socialist move (The Henry Kaisser Family Foundation, 2009). Polls as far back as 1930s suggest that the public has been supportive of attempts to access health care and health insurance. The only stumbling block was the fear that individuals would not be required to pay more. National health insurance proposals have failed in the past due to a number of reasons with lobbying being one of the key factors. However, significant reforms have been achieved in the past and improved access to health care through Medicare, Medicaid and Children’s Health Insurance Program. It was inevitable to institute health care reforms since the cost of healthcare was rising day by day and previous governments had failed to initiate a program that could find favor among the majority of the people (The Henry Kaisser Family Foundation, 2009). A competitive global world requires healthy and engaged employees. To have employees actively engaged in work is becoming the primary global work force in today’s competitive business landscape. Successful companies have structured effective health programs to improve the effectiveness of employees. Most of the top performing companies are able to create a good enterprise and generate a highly engaged workforce (Watson Wyatt Worldwide, 2010). Based on the experiences of world leading companies, it could be argued that the National Health Care reforms would foster higher productivity among the American citizens. World Health Organization (WHO) projects that chronic condition would be the greatest disability in the world by the year 2020. If not managed successfully, diseases such as diabetes could lead to increased health care cost and more costs would be due to lost production. In America, it is estimated that costs of lost production due to diabetes could be up to five times the direct health care costs. The health plan provides a chance to counter cardiovascular diseases, cancer, diabetes and chronic respiratory diseases that could negatively impact on the productivity of employees in the US. The interaction between the healthcare workers and the patients could be used to inform them on strategies that could promote their health and eliminate the risk of developing those diseases. This is a break from the past where people would go to the health care facilities when problems are acute and urgent medical attention is required. The Healthcare plan provides a chance for testing, diagnosing and relieving symptoms as soon as possible. In the long term, this can reduce the burden of health care demands (Forman, 2009). The experience with private companies has shown that, with this insight, management of the health of employees increases efficiency and effectiveness of the work force. Satisfying work experience, in turn, leads to delivery of quality products and produces higher returns on investment. Such companies are able to gain from higher productivity, higher retention of workers and stronger financial performance (Watson Wyatt Worldwide, 2010). The nation (US), therefore, stands a chance to benefit from entrepreneurial rent instigated by National Health Care Reforms. Entrepreneurs and businesses know too well that business performance can be maximized by investing in the health programs for their employees. Health program would provide benefits such as reduced stress related diseases among employees, reduced impact of chronic diseases and reduced absence from work. In return employees get motivated to achieve the organization goals (Watson Wyatt Worldwide, 2010). Consequently, the companies are able to attain better financial results. National health insurance plan administered by the federal government offers an alternative to private health insurance. This would have significant effects on the American people. Chief among them is that national deficit would be reduced as a result of lowering health care costs. The program stands to benefit non-elderly people through combining the existing employer provided health plans with the Medicare like program. Under the program, any US citizen not covered by the employer health plan or Medicare, could purchase medical cover through Health Care for America. The federal government is mandated to bargain for lower prices and upgraded care for every Health Care for America Enrollee. Employers would be required to participate in the program either through paying tax on the payroll or helping their employees to be covered. The program would ensure that health care coverage is available to citizens without proper work cover and Americans without insurance cover can purchase private cover or purchase through the Health Care for America Plan. The fear of losing insurance cover because of layoffs will be no more. In conclusion, the higher cost for health care provided by the federal government will lead to wealth creation due to productivity gains and additional entrepreneurial rent because of better health coverage. It is, therefore, prudent that we give the maximum support to the proposed national health care reforms for the benefits bound to help the American people. An effective health and productive system would thus form the success of America. References Forman, L. E. (2009). Health Care Reform. Eden Prairie: ABDO. The Henry Kaisser Family Foundation. (2009, March). National Health In surance—A Brief History of Reform Efforts in the U.S. Retrieved October 25, 2011, from The Henry Kaisser Family Foundation: http://www.kff.org/healthreform/upload/7871.pdf Watson Wyatt Worldwide. (2010). The Health and Productivity Advantage. Retrieved October 25, 2011, from National Business Group on Health/Towers Watson: http://www.towerswatson.com/assets/pdf/648/The%20Health%20and%20Productivity%20Advantage%20-%20Staying@Work%20Study.pdf Read More