June/July 2001

Health Secretary Calls For Less Regulation

Chicago - U.S. health secretary Tommy Thompson wants to create a task force to oversee the department's efforts to reduce the regulatory burden on the health-care industry. Thompson, who spoke recently to graduates at the University of Chicago Medical School, said over-regulation of hospitals, clinics and managed care companies undermines the quality of healthcare and results in undue costs.

``The health-care system in America is straining considerably and there needs to be some modernization and some constructive changes done,'' Thompson said. ``A lot of the problem rests with the kind of regulatory system we have caused by my department.... It all gets down to a lot of paperwork, a lot of duplication and yes, a lot of mistakes.''

Hospitals and other health-care providers waste countless hours on paper work and need to work toward a paperless and more modern society, Thompson said. As part of his reform effort, Thompson said his department will review regulations governing the so-called Medicare+Choice program, which offers private HMO coverage to about 15% of the 40 million elderly and disabled Americans on Medicare.

Source: Reuters

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