May 2010

Dear Friends:

Despite the best of intentions, the national debate on healthcare reform has focused on quick-fix solutions rather than on the fundamental changes we truly need to create a system that will benefit all Americans.

The debate has concentrated primarily on the insurance industry and the financial aspects of healthcare. But that’s just the tip of the iceberg. Successful healthcare reform hinges on our willingness to tackle a variety of tough issues.

A serious shortage of primary care physicians, geriatricians and nonmedical geriatric caregivers will only exacerbate the problem of caring for an aging population. Faced with this shortage, we must identify ways to encourage medical school candidates to become primary care physicians.Otherwise, the number of people using the Emergency Department for primary care will continue to escalate, fueling skyrocketing healthcare costs.

Preventive care is another crucial component to controlling costs. Nearly 40 percent of all deaths are tied to preventable causes such as smoking, alcohol abuse, physical inactivity and poor diet.Wellness programs and early detection save lives and money by identifying disease when it’s easer and less expensive to treat.

Healthcare costs will continue to soar without malpractice insurance reform to create an equitable system for patients and physicians. Under the current litigious system, physicians are practicing defensive medicine to avoid malpractice claims.This adds billions of dollars to the cost of healthcare in this country.

At the same time, we must find ways to reduce medical errors, perhaps with the development of a national repository for medical mistakes to educate caregivers. Healthcare organizations need to create a supportive culture where errors are addressed openly so they do not happen again.

Cost-cutting measures that reduce Medicare payments to patients and institutions that care for the elderly are sorely misguided, given the nation’s growing number of older adults.We also must take an honest look at healthcare costs incurred in the final year of life.True reform must address the implications of spending millions of dollars to keep patients alive during their last six to 12 months.

While these challenges are formidable, we should not lose sight that our country has great physicians and caregivers.The quality of healthcare found in the United States remains among the best in the world.

Frank A. Corvino
President and Chief Executive Officer