Drudge Retort: The Other Side of the News
Tuesday, January 30, 2018

Amazon.com, Berkshire Hathaway and JPMorgan Chase will form a healthcare company aimed at cutting costs for their U.S. employees, they said on Tuesday, sending shares in the broad healthcare sector sharply lower. The company will not aim to make a profit and initially focus on technology to provide what they called "simplified, high-quality and transparent healthcare" for their more than 500,000 U.S. employees. "The ballooning costs of healthcare act as a hungry tapeworm on the American economy," said Berkshire Hathaway Chairman and Chief Executive Officer Warren Buffett. "Our group does not come to this problem with answers. But we also do not accept it as inevitable."

Advertisement

Advertisement

More

Comments

Admin's note: Participants in this discussion must follow the site's moderation policy. Profanity will be filtered. Abusive conduct is not allowed.

The Santa Fe Hospital in Temple, TX did the same thing.

Santa Fe RR Hospital

The Santa Fe Railroad Hospital was unique because it was one of very few hospitals built by Texas railroads specifically for their employee's benefit. Railroad work was dangerous and injuries frequent. Medical care for railroad workers, scattered across the state, was scarce and rudimentary. The Gulf, Colorado and Santa Fe Railway decided it would be better for their employees and the railroad's operations if injured workers could be brought to a then state-of-the-art hospital for treatment of their injuries.

The Santa Fe Hospital opened in June 1891 on South Twenty-Fifth Street in Temple. The hospital was operated by the Gulf, Colorado and Santa Fe Hospital Association, formed by Galveston businessmen who owned the Gulf, Colorado and Santa Fe Railway. The Santa Fe was among the first railroads to adopt a system-wide prepaid hospitalization and pension plan. Before 1891 railway workers were treated at St. Mary's Hospital in Galveston, but rail officials established a hospital in Temple because of its central location in the railway system.

#1 | Posted by madscientist at 2018-01-30 03:35 PM | Reply

"That could undercut the industry's "middlemen," from health insurers to pharmacies and benefits managers."

Our gov could do the same thing if they weren't worried about losing campaign donations from those same middlemen... they could actually do it more efficiently because they could control the prices of goods and services in the industry the way successful northern European systems do, systems that are both single payer and multi-payer.

Perhaps, initially at least, a threat that the industry should accept price controls or become single payer, which has built-in advantages, might get the industry's attention.

#2 | Posted by Corky at 2018-01-30 03:48 PM | Reply | Newsworthy 4

I wish them luck. But, Doctors, Clinics and Hospitals stand in their way. Kaiser has been doing this since 1945. They have not had a significant impact on the overall cost of health care in this country. A radical approach is needed, which eliminates insurance intermediaries and cuts health care wages. This could actually be good for doctors, clinics and hospitals, who spend far too much time generating billings and seeking insurance company approvals.

#3 | Posted by bayviking at 2018-01-30 03:50 PM | Reply

This could actually be good for doctors, clinics and hospitals, who spend far too much time generating billings and seeking insurance company approvals.

#3 | POSTED BY BAYVIKING

It's one of the principles behind FSA's.

#4 | Posted by JeffJ at 2018-01-30 04:00 PM | Reply

When I was a kid my dad worked for Exxon. We had Stanocola (standard oil company Louisiana) healthcare. It was company doctors, clinics, etc... The only thing they didn't have was a hospital. Eventually it went the way of the Dodo.

#5 | Posted by lfthndthrds at 2018-01-30 04:25 PM | Reply

It's one of the principles behind FSA's.

#4 | Posted by JeffJ

I didn't follow that. Unless you mean something other than a Flexible Spending Account for medical expenses. I have an FSA - even with good insurance I spend far too much money on healthcare so I opened one. The thing is they are tax free but don't count toward SS and the like.

#6 | Posted by GalaxiePete at 2018-01-30 04:42 PM | Reply

Pete,

What they do is make many more of the transactions first person, which obviates the need for billing insurance companies, etc, as BayViking pointed out.

#7 | Posted by JeffJ at 2018-01-30 04:45 PM | Reply

One huge issue is that not enough people have health insurance. So to cover the cost of people without health insurance who will never pay, clinics and hospitals raise prices.

Thankfully Donald Trump is making sure less people are covered and that's going to lower prices by...some form of magic no one in the GOP can explain.

#8 | Posted by Sycophant at 2018-01-30 04:48 PM | Reply | Newsworthy 7

I'm stunned. This has such potential, but Bezos and particularly JPMChase I have zero faith in.

#9 | Posted by redlightrobot at 2018-01-30 05:23 PM | Reply

I may be wrong but the way I understand it, right after WWII one of the 1st things the US did in Germany and Japan was set up universal health care, as it was the most efficient way to provide health care to a depressed nation. US companies were against this as the US companies were having trouble attracting workers as the wages were froze at that time. One of the ways around the wage issue was to provide free health care as a benefit to attract more qualified workers. Eventually it morphed to a business, and health care became another profit center. Now we have a real mess. it has become so bloated with the insurance companies that I would estimate over 50% of the costs of healthcare is to cover the insurance and legal paperwork costs.

If we had universal health care, what would the unemployment really be in the US without the insurance and legal costs that would not be needed?

#10 | Posted by bat4255 at 2018-01-30 05:44 PM | Reply

If we had universal health care, what would the unemployment really be in the US without the insurance and legal costs that would not be needed?

#10 | POSTED BY BAT4255

Probably lower because we'd have greater productivity and a healthier workforce.

#11 | Posted by Sycophant at 2018-01-30 05:50 PM | Reply | Newsworthy 1

If Amazon And Buffett Lift Veil On Health Prices, Insurers Are In Trouble

www.forbes.com

Is This the Beginning of the End of Healthcare as We Know It?

After months of speculation, we now know why Amazon has been increasingly interested in the healthcare space. A reckoning is coming, and the incumbents are shaking in their boots.

www.fool.com

One can only hope....

#12 | Posted by Corky at 2018-01-31 01:17 PM | Reply

And maybe they just want to get in on the ground floor of the Trump induced "Death Spiral" and cash in on the "survivors".

#13 | Posted by donnerboy at 2018-01-31 04:50 PM | Reply

"Probably lower because we'd have greater productivity and a healthier workforce."

And they would be happier, more environmentally conscious, and spiritual as well.

#14 | Posted by madbomber at 2018-01-31 07:53 PM | Reply

Comments are closed for this entry.

Home | Breaking News | Comments | User Blogs | Stats | Back Page | RSS Feed | RSS Spec | DMCA Compliance | Privacy | Copyright 2018 World Readable

Drudge Retort