N-HSA: The New Health Savings Accounts
Some new ideas are ready to be debated. Here are the ones I favor for 2016.
So now we have two products, Classical HSA, and New HSA. The first is growing and prospering, but needs some brief, liberating Congressional language to free it from tax-inequality, and deposit limits. With about two sentences of legal language, the Classical version should be a wonderful simple way to reduce healthcare costs and provide a way to fund retirement costs at the same time.
The New-HSA by comparison, would require much more extensive legislation, but it could result in a massive reduction of healthcare costs. It is capable of enlarging for new remedies, and shrinking if we cure a few diseases. It could even accommodate subsidizing the poor, or building substantial retirement funds. It could provide a framework for whole-life approaches in an environment of competition, if people with that sort of experience step forward. It would, however, require a great deal of legislation. It would encounter opponents who would be disadvantaged by change, by disintermediation, by competition, and by politics. So it might not look like what I envision, after we are through with it.
Its greatest danger is its greatest strength: since it could make healthcare cheaper, it could be captured by those who desire, not improved health so much, as an improved Christmas tree.