🔗 Share this article

Out-of-pocket costs. In-network. Non-preferred providers. Concierge medical services. Personal healthcare costs. Co-payment. Co-insurance. Insurance consultants. Coverage agents. Medical advisors. Affordable Care Act. HMO. Preferred Provider Organization. Exclusive Provider Organization. Point of Service. HDHP. HSA. Flexible Spending Account. Health Reimbursement Arrangement. EOB. Consolidated Omnibus Budget Reconciliation Act. SHOP. Single coverage. Dependent coverage. Premium tax credits.

Baffled? You should be. Who understands all this stuff? Certainly not the average business owner. Nor the typical employee. Selecting the right medical coverage for companies – or for households – seems like it requires a PhD in medical insurance.

The Healthcare System Is More Than Complex, It Is Costly

According to a recent study, the average family spends $twenty-seven thousand annually for their health insurance (up 6% from last year). The average employer health insurance cost is projected to exceed $seventeen thousand per employee by 2026, an increase of 9.5% compared to 2025.

Currently the government is shut down due to partisan disputes regarding subsidies that experts say will lead to a doubling of premiums for millions of Americans.

When Will We Seriously Consider National Health Insurance?

How soon might we seriously consider universal healthcare coverage in the United States? I'm convinced we're approaching that point since this situation is unsustainable.

I'm not proposing national healthcare. I'm proposing that our already existing Medicare system – an established insurance framework – simply expand to include all citizens. Our infrastructure doesn't change. The way our healthcare providers get paid changes. Trust me, they will adjust.

The Way National Health Insurance Could Function

A national health insurance program would require contributions from workers and companies. In similar programs, an employee earning average wages must contribute approximately five point three percent to their healthcare. The company pays about 13.75%.

Does this seem like a lot? Unless you contrast that with what the typical US resident spends. I can name multiple clients that are routinely paying between 8% to 15% of their employee wages to their healthcare costs. And keep in mind that in comprehensive systems, these contributions include retirement benefits, sick pay, parental benefits and job loss protection along with supporting healthcare facilities. When including these expenses versus what we pay on retirement programs, job loss coverage and vacation benefits, the difference decreases.

Execution in the US

For America, a national health premium would raise our Medicare tax deduction, a framework already established. It should be means-based – wealthier individuals would pay more than those earning less. This includes both worker and employer contribution. Similar to much of our government's defense, IT, social programs and transportation services, the system should be outsourced by private contractors instead of federal agencies.

Benefits for Small Businesses

A national health insurance program would be a significant advantage for small businesses like mine. It would place small companies in equal competition with our larger competitors who can afford better plans. It would make administration much easier (a payroll deduction processed similarly to social security and healthcare taxes, rather than separate payments to insurance companies and insurance providers).

It would enable simpler for us to budget annual expenditures, instead of going through the complicated (and fruitless) process of negotiating with major insurers that we must do every year. Due to simplification, there would be a better understanding about benefits by our employees – contrasted with existing arrangements where they have to interpret the complications of existing plans. Additionally there would definitely exist reduced responsibility for companies as we no longer would be privy to workers' medical records for purposes of weighing risks and different options.

Free-Market Viewpoint

I'm as pro-market as possible. But I've learned that public institutions play important functions in our lives, including national security to supporting essential systems. Providing healthcare for everyone through a national insurance system enhances our economy's infrastructure. It's a better, easier system for small businesses which hire the majority of the country's workers and generate half of our GDP. It enables for workers to be healthier, come to work more often and be more productive.

Addressing Concerns

Exist numerous factors I'm not addressing? 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 America isn't a small, Scandinavian country where big changes are easier to implement. But expanding universal Medicare, even with the additional taxes that would be incurred, would remain a superior and less expensive approach for not only controlling healthcare costs and ensuring coverage for all citizens.

Need for Honest Assessment

As Americans, we need to tone down our own arrogance. America's medical care isn't so great. The US places well below many other countries with the best healthcare globally, according to comprehensive research. Maybe one bright spot amid current situation is that we undertake serious examination at ourselves and agree that major reforms are necessary.