“So, how're you doing’?” It's the first question most people ask each other when the sunshine of spring first breaks through the gray skies of winter here in the northern end of the Treasure Valley.
What they meant, of course, was how's your health. Time was, it was a rhetorical question that did not require an answer beyond “Fine, how about you?”.
But times are changing. Today, “How‘re you doing?” often leads to the question, “How's your health insurance?” Fewer and fewer people have any insurance and most that do have it have significantly less coverage than just a year or two ago and at substantially higher premiums. Even people who work for the government have seen their coverage decline while their premiums rise.
Meanwhile, doctor’s offices and hospitals are spending ever increasing amounts of time and money billing and collecting from private insurance companies, Medicare and Medicaid. Weiser Memorial Hospital pilled up accounts receivable of more than $700,000 before new management turned things around.
The USA used to have the best health care in the world if you considered only people with insurance. If you considered the entire population including the more than 40 million Americans without insurance, it was among the worst in the world. Cuba ranked higher.
Thus, Hillary Clinton’s First Lady Health Care Initiative in 1993 went down without a trace when the private insurance companies now famous Harry and Louise advertisements told well-insured Americans what they stood to lose if a single-payer government insurance program were adopted.
That was then. Now, 15 years later, Harry and Louise have been replaced by Michael Moore, whose propaganda documentary “Sicko” has been packing them in at independent movie houses. It features Americans with health insurance whose plans will not cover the treatment they need. Moore takes them to Canada and Cuba where they receive the treatment denied them in the U.S., free of charge.
As it happens, both Harry and Louise and Michael Moore misrepresented the Canadian health care system. Harry and Louise said it is socialized medicine, which it definitely is not, and Moore said anyone can go into a doctor’s office or clinic and be treated, which they most definitely cannot. You have to be registered with the health care system, which requires a social insurance card and number. You can go to an emergency room without the provincial health insurance, but you'll be billed.
Technically, Canadian health insurance is not even single payer system. Each of the 10 provinces has its own health care system paid for by provincial taxes and premiums. The federal government is not directly involved.
The federal government only participates in helping some provinces pay for health care through a complex tax agreement that transfers a portion of tax receipts from richer to poorer provinces to ensure relatively equal services across the country. These transfers also help pay for all other government services including policing, schools, colleges and universities, parks and recreation, etc.
What about waiting lines? Indeed, they do exist. However, every Canadian registered for health care is assured of a place in line based on the severity of his or her case. If you have cancer or other life-threatening illness, for instance, you'll get immediate treatment. Where do you get in line in the U.S. if you have no insurance or if your insurance does not cover the treatment recommended by your doctor?
Like American insurers, Canadian plans do not cover experimental treatments except under very special circumstances. Canadians have more avenues of appeal than most American’s, however. They can, and regularly do, go to their Member of Parliament, often with success.
To be sure there are services common at hospitals in Idaho that you cannot get at Canadian hospitals. Private rooms, for one. There are very few of them and they go to patients who need them. For example, private rooms in maternity wards go first to women whose newborns are ill or die during or soon after birth. Needless to say, there is no free valet parking at any Canadian hospital. There is not a lot of parking, especially at city hospitals, and they charge for it.
There is private health insurance in Canada, lots of it. It varies from province to province, but most Canadian plans cover prescription drugs, eye exams, prescription glasses, private or semi-private rooms (if available), ambulance services and nursing homes. Blue Cross is Alberta is free to those with low incomes, usually subject to a means test.
Most working Canadians have private insurance through their employer. The self-employed or consultants can obtain the needed extra insurance at a tiny fraction of the cost of supplemental health insurance in the U.S. Canadians who are not working can easily pass the means test.
Doctors are not required to participate in Canadian health insurance plans. They are perfectly free to charge patients themselves for their services. Of course, they cannot pick and choose – they are either in or out of the plan. If they are in, most provinces do not allow them to charge patients additional fees.
Provincial medical associations negotiate fees with the provincial health department on a regular basis.
Canadian doctors do not buy medical malpractice insurance. The Canadian Medical Association insures all of its members though its own self-administered plan. Why does this work so well? It’s obvious – because any additional medical care, hospitalization or other services required as a result of malpractice is covered by health insurance.
Okay, there is more to it than that, but it would take a separate column to explain. In short, Canadians don’t sue as much as Americans do and Canadian courts do not provide more than compensatory damages. You get your out of pocket expenses and, in the case of wrongful death, the amount the deceased would have been expected to contribute to family income. Pain and suffering is worth at most a couple of thousand dollars and there is no such thing as loss of conjugal bliss.
Beyond compensatory damages – loss of a father’s income or a mother’s child care, for example -- Canadian law limits compensation for wrongful death to $60,000. Until the mid-1990s, it was $3,000.
You can search the streets for hours without finding a lawyer willing to take a case on a contingency basis and, if you find one, he or she will be worth exactly what you pay him or her up front.
Well, you say, Canadian health care sounds like a pretty good deal, but it should be for the amount of taxes you pay up there. Okay, let’s check on that. The latest issue of The Economist has a chart of the gap between what workers are paid and the amount they take home after paying all taxes in 15 industrialized countries. American workers on average take home roughly 70 percent of their earnings and Canadian workers 68 percent.
As a further point of interest, workers in Switzerland, Japan, and Australia take home more than Canadian and American workers; and they have single payer government health insurance.