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Thursday, May 28, 2009

medical pricing cuts

WASHINGTON — A major health insurer says the government can save more than $500 billion in Medicare spending by sending patients to cheaper, more efficient doctors, reducing hospital visits by the elderly and cutting down on unnecessary care.

Those are among 15 suggestions made Wednesday by UnitedHealth Group Inc., a Minnesota-based health management company that is the biggest participant in the government’s Medicare insurance program for the elderly. United said the proposals added up to $540 billion in savings over 10 years.


Savings or rations?
The proposals come as Congress and the Obama administration are working on a major health care overhaul aimed at reducing costs and extending coverage to 50 million uninsured Americans.
Some of the proposals could be cast as attempts to ration health care — one of the attack lines some conservatives have been using against emerging proposals from the D e m o c r a t i c - c o n t r o l l e d Congress.

Like other groups with an interest in the outcome, UnitedHealth is trying to position itself as a constructive voice in the debate — and avoid becoming a target itself as lawmakers try to reshape the nation’s $2.5 trillion health care system.

"The political debate, in part, is about how do you produce savings that can be used to fund other aspects of health reform legislation, and it’s that part of the political debate that this is a contribution to,” said Simon Stevens, United executive vice president and head of its center for health reform.

Stevens and Dr. Lew Sandy, United’s senior vice president for clinical advancement, said the company had successfully used those techniques to drive down costs and promote quality care.


by the associated press

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