Containing the runaway cost of medical care is the thorniest of all the thorny issues in the health-reform debate. There’s been tons of talk from politicians, advocates, and even health-care stakeholders about the need to reduce the nation’s rate of spending on medical treatment and keep a lid on price increases. Yet many policy experts say that the “acceptable” cost-containment options in the House and Senate bills are weak and will actually lead to more health-care inflation, which would mean that even more people could not afford insurance or care. It is a complicated, charged, and crucial issue; the press needs to dig in and own it. This is the third in a periodic series of posts that will scrutinize how well the press does that. The entire series is archived here.
Over the last few days, several news outlets have faithfully reported the medical industry’s anger over a measure that would reduce the amount the government pays doctors for treating Medicare patients. Horrors! If the docs don’t stop the long-delayed 21 percent fee cut, scheduled to take effect today, the sky will fall in—medically speaking, that is. Then again, the press reports the same thing every time the fee cuts are scheduled to take effect. And each time Congress comes to the rescue and stops the cuts, the press is there to record the victory. The Dance of the Fee Cuts has become a yearly ritual, with the media carefully following the steps.
The Naples Daily News in Naples, Fla. reported that physicians left their practices Friday frustrated at their elected leaders in Washington for failing to reverse the cut:
The fallout is physicians may scale back on the number of Medicare patients they treat and some may drop out of the Medicare program entirely. Physicians have been on pins and needles for sometime over the Medicare payment cuts and they didn’t expect it would go through because of extensive lobbying.
Dr. Joseph Gauta, president of the Collier County Medical Society, said that “This weekend you will see a lot of them sweating. Nobody thought this would take effect. They thought it would be fixed.”
Fixed? A fee cut to health care providers that could bend the cost curve everyone has talked about for two years now? It’s not likely Congress will let that happen, even though they voted for the schedule of cuts back in 1997 as a way to begin slowing the growth of medical costs in the Medicare program. The hope was that commercial insurers, which provide the kind of coverage the rest of us have, would begin slowing down costs on their end, too. Obviously that hasn’t happened for a lot of reasons, including the fact that the docs aren’t eager to give up any income.
The fee cuts concerned BusinessWeek, too, which talked to dermatologist Michael Bell of Murfreesboro, Tennessee. Bell said he had to delay appointments for his elderly patients by four months. Bell said that even if Congress steps in and blocks the cuts, Medicare pays too little. Were BusinessWeek readers to feel sorry for the dermatologists, who are among the best compensated medical specialists? The magazine quoted a Medicare official who said that Medicare pays 80 percent of the $65.67 cost of a mid-level office visit, but failed to say that most beneficiaries have supplemental coverage that pays the additional 20 percent. In the end, the docs get the full amount.
BusinessWeek also reported that the Mayo Clinic, showcased by the Obama administration as a model for other big hospital systems, said a primary care clinic in Arizona would stop taking Medicare patients Jan. 1 because the government pays too little. BusinessWeek’s story was dated February 26. Was the clinic still refusing Medicare patients? How many had gone untreated over the last two months?