High health insurance costs in six easy steps

I met with an insurance broker last week, and asked him to explain the high price of health coverage. He barely needed a moment to consider.

1. Over-utilization. A commodity that is higher in demand is more expensive.
   
2. Technological advances. A commodity that requires more expensive machinery -- which in turn requires costly maintenance -- will be more expensive.
   
3. Overly cautious doctors. Needs no explanation.
   
4. Limited or no price shopping on behalf of the end user. Bizarre federal tax law allows businesses to pay for health insurance with pre-tax dollars, but does not allow individuals the same. This way the consumer and the end user are two different entities. Market distortions ensue.
   
5. Indiscriminate pharmaceutical drug use. Again: higher demand, higher price.
   
6. Limited or no emphasis on wellness. Waiting until you are sick sadly limits your options.
   

It's an indictment of market-based health care, to be sure, but # 1, # 3, # 4, # 5 all indict a single-payer system as well. Technological advances could arguably slow under universal health coverage. Emphasis on wellness would arguably increase under universal coverage.