Thursday, February 9, 2017

Wisconsin Skips Insurance Industry 2 Procure Medical Delivery

The State of Wisconsin has decided to employ a special means to get medical care for workers.  This is called self insurance.  The State of Wisconsin skips the Insurance Industry products and self insures- buying medical care from contracted providers. 

This will pull a huge number of individual beneficiaries from the traditional health insurance market.  With all the State of Wisconsin employees leaving the Health Insurance Market some plans will need to merge to survive.  This means the number of Health Insurance Plans available in Wisconsin will diminish and some will exit.

This is expected to flood the receiving providers medical delivery schedules.  So contracted providers will be confronted with larger case loads.  This clearly lessens competition measures manufactured through supply and demand activity across the Health Insurance Industry. 

In a sense the State of Wisconsin becomes a single payer for all the medical delivery service their employees receive.  This removes duplicate administrative cost - constricting the outflow of the fund.  Saving money by eliminating payment for the service a health insurance plan would provide for the beneficiaries.


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