Congress Holds Prescription for Change

In the April 10 business section Q&A;, speaking about the ethics and economics of consolidation (in the health maintenance organization industry), FHP’s William W. Price III says that the enormous “gain by executives involved in health care mergers comes from increased stock value, not from patients’ pockets.”

But that stock value reflects the enormous profits expected to be skimmed off premium dollars. These profits--totaling 20% to 30% combined overhead and profit for the larger HMOs, according to the American Medical News--are dollars intended for, but not spent on, patient health care.

Doctors and hospitals are going bankrupt or leaving the field, and patients are having important care withheld or deferred to provide those profits. Where else does he think the money is coming from?

Doctors and patients have too little clout to protest, which is why Congress must investigate and regulate to mitigate this enormous abuse of the system for a select few profiteers.

JEFFREY KAUFMAN, M.D.

Irvine