The following flow charts provide a graphical depiction of how a simplified state health care financing system could save money, eliminate complexity, and provide more just access to care.

Figure 1 shows the major components of the current health care financing system.   The percentages on the right-hand show how providers get paid.  The percentages on the left-hand show how Oregon residents currently pay for health care through premiums, out-of-pocket payments, and through responsibility for federal and state taxes.

Figure 2 shows the location of system inefficiencies which lead to cost, complexity and injustice.

Figure 3 shows how a dramatically simplified system could provide benefit for patients and providers.

FIGURE 1.  Current Health Care Flows as a percentage of total personal care.

FIGURE 2.  Location of system inefficiencies as identified by task force actuarial consultants.   The largest potential for savings is in the current complexity of provider billing.

FIGURE 3.  A simplified payer system with billing inefficiencies removed.  

Payment would flow through a simplified payment organization or state resident co-op which contracts with providers.

Questions and comments may be directed to Warren George, warren@variedstrengths.com.