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If there are intentional cross subsidies than it isn't insurance. The concept behind insurance is to spread risk, not to spread cost. There's value in insurance
by bradleyjg 11y ago
If there are intentional cross subsidies than it isn't insurance. The concept behind insurance is to spread risk, not to spread cost. There's value in insurance exactly because there are risks (i.e. the future isn't perfectly predictable). But improving our ability to predict the future is a good thing, not a bad thing. It is true that it would make insurance useless, but insurance is not the only mechanism for subsidizing those in need, in fact it is a pretty terrible mechanism for that, since it only works that way inasmuch as it is imperfect.
The root of your argument seems to be that we need to trick people into helping other people. That seems to be an ultimately futile strategy. Better to really convince them.
- cousin_it 11y agoWell, Switzerland goes so far as to make all health insurers offer basic insurance to everyone. They can't reject anyone and they can't hike the price. I like that system, though you're right that "insurance" might not be the best word for it. Redistrubution by trickery, or even by force, might still be better than no redistribution at all. I'm pretty confused about this issue myself, don't have any clear answers.
- empath75 11y agoIf everyone is in the same system from birth, then the risk is evenly distributed when everyone pays the same amount.
- bradleyjg 11y agoThat's not true. There are actuarially significant risk factors that exist and are known at birth. Think chromosomal defects for example.
- dnautics 11y agoMoreover for less dramatic conditions, there are race-based inequalities in our fundamental knowledge of medicine. Diseases that afflict Caucasians for example are far more well studied than minorities in "the west". Moreover, because of the way treatments are tested, knowledge of safety and efficacy on potential treatments is biased against minorities (drug safety studies are largely done by white male college students looking for extra cash). Some people just have 'medical privilege' and the healthcare system perpetuates that.