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The Business of Health Care Report
Changes in Health Care, Part 1 - November 2003

Doug Hawthorne, President and CEO of Texas Health Resources I'm Doug Hawthorne, President and CEO of Texas Health Resources, with "The Business of Health Care Report" on News Radio 1080 KRLD.

In the next two weeks, our discussion will focus on changes in health care and what those changes mean to businesses and health care consumers.

In a recent CNN/USA Today/Gallup poll, Americans ranked health care third - behind only terrorism and the economy - when asked what presidential issues were most important. And, a NBC News/Wall Street Journal poll conducted this summer cited health care costs as the No. 1 economic concern of Americans.

Such concern is hardly surprising considering the current health care landscape. The U.S. Department of Labor issued a report in September indicating that the proportion of employees covered by employer-sponsored medical plans fell gradually over the last decade. Forty-five percent of employees are able to participate in employer-sponsored plans today, down from 63 percent in 1993.

Interest may be heating up further as some subtle changes already are underway - especially among health plans.

The popularity of HMOs, with their low co-pays and hefty employer contributions, is fading. The trend is toward more consumer responsibility. Consumer-driven health plans shift much of the decision-making and some of the cost to employees from employers, who can no longer afford to shoulder the increasing responsibility.

Thousands of Metroplex residents will be enrolled in consumer-driven health plans next year, with large employers such as Nokia, JCPenney, Bell Helicopter and Belo offering these plans. That's a sharp increase over 2002 when only one local employer offered a consumer-driven health plan.

It's clear things are changing. Next week, we'll discuss what these consumer-driven changes mean for employees and why they are critical to stabilizing health care costs in North Texas.

For Texas Health Resources and its family of hospitals - Harris Methodist Hospitals, Presbyterian Healthcare System and Arlington Memorial Hospital - I'm CEO Doug Hawthorne with "The Business of Health Care Report" on NewsRadio 1080 KRLD.

Doug Hawthorne

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