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Single-Payer System Would Reduce Costs

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In reference to “Healthcare Costs Spur Calls for Limits on Profits,” June 2:

There is no doubt that we have healthcare crises. We spend twice as much per capita as any other country. We are 37th in quality of care. We have 40 million without insurance in the United States, including 6 million to 7 million in California.

Limiting insurers’ profits will not solve any of these problems.

The best estimates I have seen indicate that the direct and indirect administrative costs of our “private” system are 20%, while Medicare is 5% or less. By moving to the single-party-payer plan of SB 840, we could increase the dollars available for patient care.

A single-party payer also could negotiate with medical supply companies and pay only what Mexicans and Canadians pay for drugs and medical supplies. We could probably lower our healthcare costs and at the same time provide care for all Californians.

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Frank M. Kline, MD, PhD

Rolling Hills Estates

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