It took an insurance executive to reinforce my conviction that we need publicly funded universal health care!

In a Feb. 20 op-ed, Denise McDonough, chief executive of Anthem Blue Cross and Blue Shield in Maine, correctly notes that, because of consolidation, hospitals have near-monopoly power and therefore unfair negotiating leverage (“Maine needs all hands on deck for health care affordability”). In a publicly funded system, the government, as the sole buyer, would have the power to counteract this.

Another problem with our expensive, insurance-dominated system is that the insurance company can pass on price increases to their subscribers, which reduces the incentive to bargain for lower prices. 

McDonough ignores the contribution to high costs caused by administrative complexity. In our complicated, multi-payer system, administrative expense can constitute 30% of our health care costs. Administrative costs are significantly lower in countries with single-payer systems. 

A single publicly funded statewide health care plan would be far more efficient, eliminating excess profits, reducing administrative complexity for providers and patients, and lowering prescription drug and hospital prices via negotiation or global budgets. 

Most importantly, patients and their health care professionals would have peace of mind, without the stress of surprise medical bills, high deductibles and unpredictable insurance denials.

It’s time for our state Legislature to take action. With increasing the affordability problems with health care, we need a publicly funded, comprehensive health plan for all Maine residents.

Julie Pease, MD
Topsham