Let's keep competition in medicine -- and insurance

AMA Leader Commentary. By Edward L. Langston, MD, Nov. 5, 2007.

AMA LEADER COMMENTARY

A few words about current events in medical practice

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A message to all physicians from AMA Chair Edward L. Langston, MD.

Growing up in the rural Midwest, I learned early in life the value of good neighbors. No matter what the trouble, you never were alone, because good neighbors always showed up to help.

The American Medical Association has a long and proud tradition of being a good neighbor to everyone in the House of Medicine, joining forces with other organizations when needed to fight for what is right.

Our recent activities in Nevada, in support of the Nevada State Medical Assn., demonstrate the AMA's commitment to the belief that any one health care insurance company having a stranglehold on any one state's health insurance market is just one instance too many.

AMA Immediate Past President William G. Plested, MD, joined officials of NSMA in late July urging the Nevada commissioner of insurance to block the buyout of Sierra Health Services by United HealthGroup. Our analysis shows that United's buyout, which would combine two of the three health insurers in Las Vegas, would substantially lessen competition and cause significant harm to consumers and health care providers in the Silver State.

The AMA provided extensive information about marketplace concentration in Nevada. In Las Vegas, United would have more than a 90% market share in HMO plans and more than a 60% share in all health insurance plans and an absolute monopoly in the Medicare Advantage market vital to thousands of senior citizens. Additionally, the proposed takeover likely will result in diminished compensation for health care professionals. Nevada already suffers from a chronic shortage of physicians and nurses and has one of the highest rates of uninsured individuals. This takeover will only heighten the current health care crisis in Nevada.