Single-payer health care has long been the political pipe dream of the left, but there’s a nearly identical system that could actually happen.
All-payer rate setting, as the system is known, shares the same goals of single-payer: it aims to increase efficiency and reduce insurer overhead in the health care system. Single payer does this by eliminating private plans for one government plan. All-payer rate setting gets there by setting one price that every health insurer pays for any given medical procedure.
“[All payer] has everything except the government-run plan,” says Mark Pauly, a health economist at University of Pennsylvania. “In all-payer systems, the government uses Blue Cross and other insurers as their agent. For consumers its the exact same except for who they write their check for premiums to.”