"Mr.Delaney, your idea is great; could it be adapted to provide the loans 4 entrepreneurs 2 start own healthcare company?
I balked at first.
Insurance companies used the funds invested by their policy holders to build monstrosities called HMOs (Health Maintenance Organizations). These massive institutions would have a monopoly on the care of their policy holders. HMOs are great at delivering untold profits but are horrid at delivering care.
My gut reaction is that people should avoid having the health care funding system owning the health delivery system.
Yet as I tried imagining an MS&L making investments in clinics, I realized that such clinics are likely to be more like buyers' coops than the industrial HMO created by insurance companies.
The dissatification that people have with HMOs was the result of the tight command and control profit structure of the insurance paradigm. Clinics funded by the Medical Savings and Loan are likely to reflect the more loose knit structure of the funding device.
Having the funding mechanism for health care directly investing in the health care delivery mechanism is only problematic when the system is owned by a third party.
The ability of a Medical Savings and Loan to invest in new clinics is a wonderful way for people to overcome weaknesses in the current infrastructure. My thought experiment on this matter seems to further my belief that we should move from the insurance model to the MS&L model.