09
Sep
09

The health care system bubble

Awhile back I ran across a prediction about the future of health care that coincides with I’ve been thinking for some time. The CEO of a company called the TriZetto Group, Jeff Margolis, recently made a set of predictions about the future of health care. His company is a health care information systems company. Margolis says:

“Much like the recent housing market bubble, there’s now a healthcare market bubble… And just as people believed that housing prices would only rise, so too do pundits say that healthcare costs will continue to climb. I take a contrarian view: The healthcare bubble will burst. Too much spending for too little value cannot persist indefinitely. Fully insured premiums in 2011 will be less than 2010 rates, and even in 2010, some individuals and many groups may pay less for health insurance than they will in 2009.”

I couldn’t have said it better.  Something’s got to give. We’ll see what the president has to say this evening. But one thing’s for sure, the health care dilemmas are not going away, and doing nothing kicks Margolis’ prediction up to greater probability.

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