California Education Coalition for Health Care Reform INTRODUCTION TO CECHCR
California Education Coalition for Health Care Reform
INTRODUCTION TO CECHCR
Who is CECHCR?
Association of California School Administrators
California Association of School Business Officials
California County Superintendents Educational Services Association
California Federation of Teachers California School Boards
Association
California School Employees Association
California Teachers Association
Community College League of California
School Employers Association of California
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Stronger Together
Management and labor working together
Of the education community
By the education community
For the education community
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CECHCR Strategies
Share policy information Develop and share “Best Practices” Coordinate legislative initiatives,
such as: Study of a “School Pool” Transparency Health Families National health care reform
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Three Education Programs
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Module I
“Joint Labor–ManagementHealth Benefits Training”
Module II
“Health Benefits:Making Informed
Choices”
Module III
“Health Benefits:Current Issuesand Trends”
Follow-up Services
Module IV
Additional TrainingFollow-up consultationsAssistance in engaging
health benefits plans
Cost Trends
Trends are Unsustainable for Districts, Employees, and the Population We Serve
$13,375$14,539
$15,803$17,178
$18,673$20,297
$22,063
$23,983
$26,069
$28,337
$30,803
$13,375$14,191
$15,057$15,975
$16,949$17,983
$19,080$20,244
$21,479$22,789
$24,180
$0
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
1999-2009 (8.7% )
2004-2009 (6.1% )
Note: Health insurance premiums projected for 2010-2019 assuming (1) that the average growth in premiums between 1999 and 2009 (8.7%) continues or (2) that the average growth in premiums between 2004 and 2009 (6.1%) continues. Source: Kaiser Family Foundations projections based on data from Kaiser/HRET Survey of Employer-Sponsored Health Benefits, 1999-2009.
Projected Health Insurance Premiums for Family Coverage, Assuming Average Growth Rates, from 1999-2009 and 2004-1999
The Industry’s Explanation for Higher Costs
“80% of all claims are lifestyle related”
– a quote from a Blue Cross of California representative
Excess utilization New technology Aging population
I didn’t do it!
What the Research Shows
Waste, inefficiency, high administrative costs
Poor quality Inappropriate care Huge variation in costs
Welcome to the Health Care Industrial Complex
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Industry Growth Since 1970
Source: US Bureau of Labor Statistics; Himmelstein, Woolhandler, Lewontin analysis of CPS data
Deaths from Medical Errors
Significant Cost Variations
The Dartmouth Atlas of Health Care – research on Medicare costs
McAllen, TX has one of the highest cost per Medicare enrollee
Why?
Comparing Cost Trends
Cost Trends Have Been Contained in Other Countries
* PPP=Purchasing Power Parity.Data: OECD Health Data 2007, Version 10/2007.
Average spending on healthper capita ($US PPP*)
Total expenditures on healthas percent of GDP
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International Comparison of Spending on Health, 1980–2005
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
United StatesGermanyCanadaFranceAustraliaUnited Kingdom
0
2
4
6
8
10
12
14
16
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
United StatesGermanyCanadaFranceAustraliaUnited Kingdom
* PPP=Purchasing Power Parity.Data: OECD Health Data 2007, Version 10/2007.
Average spending on healthper capita ($US PPP*)
Total expenditures on healthas percent of GDP
EFFICIENCY
Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2008 15
US Life Expectancy
Utilization is lower in the U.S. than it is in other countries
Health Care inthe U.S.
The U.S. spends more per capita than other countries, and yet is ranked last by all these indicators.
http://www.commonwealthfund.org/usr_doc/site_docs/slideshows/MirrorMirror/MirrorMirror.html
CECHCR’s Role
To train local districts to be more informed purchasers of health care
To educate and coordinate the education community about various reform proposals and how they impact school districts / unions
To facilitate dialogue and collaboration among school-based purchasers statewide
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Health Care For All www.healthcareforall.org The Commonwealth Fund www.commonwealthfund.org Kaiser Family Foundation www.kff.org California HealthCare Foundation www.chcf.org The California Endowment www.calendow.org Physicians for a National Health Program www.pnhp.org For additional information and links to various
health care websites: www.cechcr.org
How You Can Stay Informed
Good sources of information:
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Questions or Comments?
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