New Report Seeks to Make Health Care More Affordable
MADISON – WMC Foundation – an affiliate of Wisconsin Manufacturers & Commerce (WMC) – released a new policy report outlining the challenges posed by Wisconsin’s disproportionately high health care costs and proposing solutions to decrease these costs.
An Arm & A Leg is the newest installment of WMC Foundation’s Wisconsin 2035, a research project seeking to understand the biggest economic issues facing the Wisconsin business community and detail policy solutions to cast a vision for the state’s future.
According to the interviews, research, and data from the Wisconsin Employer Survey, which is conducted twice a year by WMC, the cost of health care is a major concern for Wisconsin businesses. In fact, recent surveys have found it to be the number one issue that business leaders think state lawmakers should be working to solve.
As a vast majority of American adults are worried about being able to afford unexpected medical bills and the cost of health care services, An Arm & A Leg notes that Wisconsin has the fifth highest hospital costs in the country and the second highest medical payments for workers compensation.
The high costs of health care hinder economic opportunity and growth, according to the report. The Wisconsin Employer Survey found fifty-four percent of businesses pay more for health care in Wisconsin versus others states they operate in.
“Price transparency has proven to effectively lessen the financial load of health care in many other states,” shared WMC’s Associate Vice President of Government Relations Rachel Ver Velde. “When patients have access to data, costs are lowered across the board because of increased accountability and competition.”
Additionally, the report offers case studies of best practices for private businesses. By using preferred providers – mostly independent clinics and other partners not associated with a hospital system – companies can compare costs for common procedures and offer cost-saving care for employees. Some employers also use on-site clinics and direct primary care to serve their teams and lower costs.
Wisconsin is one of five states without a medical fee schedule. An Arm & A Leg argues these schedules help stabilize workers compensation systems by limiting what providers can charge to treat injured workers.
“Since more than half of insured patients in Wisconsin are covered under an employer plan, it’s critical that we work to solve the issue of high health care costs,” Ver Velde added. “Our state’s economy, business community, and patients depend on it.”
WMC Foundation unveiled An Arm & A Leg at its Future Wisconsin Executive Retreat in December 2024.
