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Cox News Service WASHINGTON - Sen. Hillary Rodham Clinton sketched her vision of a technology-driven health care system Tuesday and criticized President Bush's efforts to expand health savings accounts. Clinton, D-N.Y., who is widely considered a front-runner for the 2008 Democratic presidential nomination, said America's health care problems have gotten worse since her aborted attempt to restructure the system 13 years ago.
In a speech to AARP's board of directors, Clinton joked that she has the scars to show for her controversial health reform efforts at the beginning of her husband's administration, but said America must change the direction of health care delivery and financing.
The nation's health care system's "incentives are backward and the payment system is upside down," she said.
Clinton noted that America spends lavishly on treating illnesses, but does not invest enough in preventing illnesses.
Despite the fact that America spends more per person on health care than any other nation, she noted that the country ranks 34th in life expectancy, that 45 million people are uninsured, and that half of all personal bankruptcies are related to health expenditures.
Although she did not call for a federalized health care system, Clinton praised the Department of Veterans Affairs for operating a program that consistently rates higher than private hospitals and managed care organizations in terms of patient care and satisfaction.
One reason for the VA's success, she said, is its innovative use of information technology in tracking patient care. For example, she noted that VA patients' records use bar codes, similar to those on retail products, to make sure "the right person is receiving the right medicine and the right dosage at the right time."
Clinton urged AARP leaders to prod the House to adopt two pieces of legislation she helped sponsor: one to expand the use of information technology in health care and another to expand support for respites for people providing long-term care. Both bills have passed the Senate.
Bush's call to expand tax-free health savings accounts, which are paired with high-deductible insurance policies and would cost the federal government roughly $134 billion over 10 years, would primarily benefit people who already are able to afford insurance coverage, Clinton said.
But at a briefing with reporters Tuesday, Allan Hubbard, director of Bush's National Economic Council said the accounts were a top priority of the administration and could help reduce health spending.
As an example, Hubbard noted that because most people pay for discretionary health care such as Lasik surgery out of their own pocket, rather than using insurance, the competition for customers has forced doctors to lower the cost of such operations.
In another criticism of the Bush health agenda, Clinton said she supports AARP's efforts to eliminate the asset test used in determining which Medicare beneficiaries qualify for low-income assistance.
She said she also supports AARP's effort to allow prescription drugs to be imported from some other countries, including Canada.
Marilyn Geewax of the Cox Newspapers Washington Bureau contributed to this story.
Larry Lipman's e-mail address is larrylcoxnews.com
