U.S. Health Worse Than Nearly All Other Industrialized Countries

U.S. citizens suffer from poorer health than nearly all other industrialized countries, according to the first comprehensive government analysis.

U.S. citizens suffer from poorer health than nearly all other industrialised countries, according to the first comprehensive government analysis on the subject, released Wednesday.

Of 17 high-income countries looked at by a committee of experts sponsored by the National Institutes of Health, the United States is at or near the bottom in at least nine indicators.

These include infant mortality, heart and lung disease, sexually transmitted infections, and adolescent pregnancies, as well as more systemic issues such as injuries, homicides, and rates of disability.

Together, such issues place U.S. males at the very bottom of the list, among those countries, for life expectancy; on average, a U.S. male can be expected to live almost four fewer years than those in the top-ranked country, Switzerland. U.S. females fare little better, ranked 16th out of the 17 high-income countries under review.

�We were stunned by the propensity of findings all on the negative side � the scope of the disadvantage covers all ages, from babies to seniors, both sexes, all classes of society,� Steven H. Woolf, a professor of family medicine at Virginia Commonwealth University and chair of the panel that wrote the report, told IPS.

�It�s unclear whether some of these patterns will be experienced by other countries in the years to come, but developing countries will undoubtedly begin facing some of these issues as they take on more habits similar to the United States. Currently, however, even countries in the developing world are outpacing the U.S. in certain outcomes.�

Although the new findings offer a uniquely comprehensive view of the problem, the fact is that U.S. citizens have for decades been dying at younger ages than those in nearly all other industrialised countries. The committee looked at data going back to the 1970s to note that such a trend has been worsening at least since then, with women particularly affected.

�A particular concern with these findings was about adolescents, about whom we document very serious issues that, again, stand out starkly from other counties,� Woolf says.

�Not only do they risk being killed in greater numbers, but they are also experiencing illness, and a variety of mental health concerns, at far higher rates than similar cohorts in other countries. These include significant implications for tomorrow�s adults.�

Beyond insurance

The unusually high levels of population who lack health insurance in the U.S. would certainly seem to be one factor at work here. In 2010, some 50 million people, around 16 percent of the population, were uninsured � a massive proportion compared with the rest of the world�s high-income countries.

Of course, after a rancorous debate and more than a decade of political infighting, in 2010 President Barack Obama did succeed in putting in place broad legislation that will bring the number of uninsured in the United States down significantly.

Further, Obama�s winning of a second term in office, coupled with a recent decision by the Supreme Court, will now undercut most attempts by critics to roll back Obama�s new health-care provisions.

And yet, according to the new findings, the insurance issue has relatively little impact on the overall state of poor health in the United States. (In fact, those 75 years old or more can expect to live longer than those in other countries, a clear indication of the tremendous money and effort that has gone into end-of-life care.)

�Even advantaged Americans � those who are white, insured, college-educated, or upper income � are in worse health than similar individuals in other countries,� the report states. Likewise, �Americans who do not smoke or are not overweight also appear to have higher rates of disease than similar groups in peer countries.�

Indeed, some of the few categories in which U.S. citizens are found to do better than their peers in other countries include smoking less tobacco and drinking less alcohol. They also appear to have gained greater control over their cholesterol levels and blood pressure.

At the same time, people in the United States have begun to suffer inordinately from a host of other problems that can contribute to a spectrum of additional health concerns.

Sky-high obesity rates, for instance, are undergirded by findings that people in the U.S. on average consume more calories per person than in other countries, as well as analysis that suggest that the U.S. physical environment in recent decades has been built around the automobile rather than the pedestrian.

Health disadvantage

Confusingly, people in the United States not only record far lower health indicators on average when compared to other high-income countries, but also score far lower on seemingly unrelated issues related to environmental safety � for instance, experiencing inordinate numbers of homicide and car accidents.

The committee clearly had trouble putting together these seemingly disparate datasets.

�No single factor can fully explain the U.S. health disadvantage,� the report states. �More likely, the U.S. health disadvantage has multiple causes and involves some combination of inadequate health care, unhealthy behaviors, adverse economic and social conditions, and environmental factors, as well as public policies and social values that shape those conditions.�

According to Samuel Preston, a demographer and fellow committee member, �The bottom line is that we are not preventing damaging health behaviours. You can blame that on public health officials or on the health care system � But put it all together and it is creating a very negative portrait.�

Over the past decade, one of the most puzzling aspects of the opposition to greater insurance coverage in the United States was the belief espoused by many in the country that the U.S. health system, unique in its lack of state �interference�, was better than those in most other countries.

One of the committee�s central recommendations is the need to �alert the American public about the U.S. health disadvantage and to stimulate a national discussion about its implications.�

Amidst widespread discussions of austerity, lawmakers here in Washington are continuing to debate new ways to impose steep cuts on government spending. In this, the new findings could offer some caution.

�Policymakers must recognise the potential implications of current decisions that have to be made about public health and social programmes that are currently in jeopardy because of fiscal concerns,� Woolf says.

�Understanding how cuts to those programmes might help balance budgets will probably exacerbate the country�s current health disadvantage � and make greater demands on the system later on. We need to help them understand the larger economic implications, if not the human toll.�

Worries grow as healthcare firms send jobs overseas

Some healthcare companies are starting to shift clinical services and decision-making on medical care overseas, primarily to India and the Philippines.

WASHINGTON � After years of shipping data-processing, accounting and other back-office work abroad, some healthcare companies are starting to shift clinical services and decision-making on medical care overseas, primarily to India and the Philippines.

Some of the jobs being sent abroad include so-called pre-service nursing, where nurses at insurance firms, for example, help assess patient needs and determine treatment methods.

Outsourcing such tasks goes beyond earlier steps by healthcare firms to farm out reading of X-rays and other diagnostic tests to health professionals overseas. Those previous efforts were often done out of necessity, to meet overnight demands, for instance.

But the latest outsourcing, which have contributed to the loss of hundreds of domestic health jobs, is done for financial reasons. And the outsourcing of nursing functions, in particular, may be the most novel � and possibly the most risky � of the jobs being shifted.

At the forefront of the trend is WellPoint Inc., one of the nation’s largest health insurers and owner of Anthem Blue Cross, California’s biggest for-profit medical insurer.

In 2010, WellPoint formed a separate business unit, Radiant Services, aimed at advancing outsourcing and other cost-saving strategies. WellPoint has eliminated hundreds of jobs in the U.S. over the last 18 months as it has moved jobs overseas, a company spokeswoman acknowledged.

The spokeswoman, Kristin Binns, said WellPoint’s shifting of clinical jobs overseas was a small part of the outsourcing and being done through Radiant because it has the technical expertise and can ensure compliance with laws.

Nursing organizations, however, were cautious.

“It’s obviously a very disturbing trend,” said Chuck Idelson, a spokesman for the California Nurses Assn. “There are serious questions if you’re talking about utilization reviews � and making recommendations on procedures.”

Nursing experts said there also may be licensing issues as states generally require certification for those practicing and dispensing health information.

Current and former Radiant executives declined to comment or weren’t available.

It’s not clear how many other U.S. healthcare firms have contracted with Radiant or other outsourcing specialists, but industry experts said companies were increasingly looking at more healthcare tasks that could be outsourced globally as they face greater cost pressures and sweeping changes in how they do business.

Aetna Inc.has an arrangement with EXL Service, a U.S.-based company with operations in Manila, to provide “targeted care-management support,” spokeswoman Cynthia Michener said.

Health Net Inc., which is laying off dozens of information technology and accounting workers whose jobs are being sent to India, said its outsourcing has generally been confined to administrative and IT functions. UnitedHealth Group, the nation’s largest health insurer, didn’t respond to inquiries.

Outsourcing jobs out of the country has become a hot issue in the presidential campaign: President Obama is pounding Republican challenger Mitt Romney for his private equity firm’s involvement with companies that sent jobs abroad.

Although such outsourcing has been going on for years, American manufacturers in recent years have brought some jobs back to the U.S. as labor costs have risen in China and elsewhere.

Some experts argued that sending jobs abroad could help U.S. companies by enabling them to tap global talent and efficiencies, making them more profitable. When U.S. companies are stronger, the thinking goes, it creates more opportunities for American workers. Also, shifting operations to lower-wage countries can help consumers by holding down prices.

Outsourcing jobs to places such as the Philippines can save U.S. healthcare firms 30% in labor costs, according to experts. But the practice remains controversial, especially with the U.S. unemployment rate hovering above 8%.

Patient advocates worry about crucial decisions involving a patient’s care being in the hands of foreign insurance adjusters. Analysts said there was another concern as well: patient privacy.

Even something as straightforward as medical transcription can raise questions, said Uwe Reinhardt, a healthcare economist at Princeton University. Over the last year, Iowa Health System and hospitals in Utah and Washington state have joined other medical centers that have outsourced the transcribing of doctors’ notes and other records.

“Suppose I’m an AIDS patient,” Reinhardt said. “That person in India would know � and [the information] could be valuable to someone…. For the U.S., there’s nothing more personal than healthcare.”

Dr. Kaveh Safavi, head of the North American health practice for Accenture, a major consulting and outsourcing firm that has partnered with WellPoint’s Radiant, said nearly all countries have laws for protecting patient privacy.

And to safeguard patients’ records, he said, healthcare companies store and maintain their records locally.

As for outsourcing services that are more clinical in nature, he said, “People are looking at all the tasks that can safely and responsibly be moved. It’s still an emerging market. We’re still trying to understand the market’s tolerance for it.”

In general, hospitals are moving more slowly than health insurers to send jobs overseas. But with financial pressures intensifying and the uptake of electronic record-keeping accelerating, analysts and industry people see more consolidation and outsourcing ahead.

“When you have people’s medical, billing and other records kept electronically, then it opens it up to establishing a call center virtually anywhere,” said Steve Trossman, a Los Angeles spokesman for the Service Employees International Union, which represents hospital workers. “There is no longer a reason for it to be physically in the same place as the paper records.”

Moreover, the healthcare reform law could prod insurers to move more jobs to cheaper-wage countries. The new law requires companies to spend 80% to 85% of premiums on medical care, limiting the amount available for administrative expenses.

Few have been as aggressive as WellPoint, which made a profit of $2.65 billion last year on revenue of $60.7 billion. WellPoint’s total employment at the end of last year was 37,700, down from 40,500 two years earlier.

In one of its recent efforts, WellPoint laid off pre-service nurses in Colorado and Nevada so the work could be done in Manila, according to a Labor Department filing by a WellPoint human resource manager in Denver. WellPoint spokeswoman Binns said none of the decisions that involve denial of procedures or treatment for patients are made overseas.

Overall, Binns said, fewer than 2.5% of the 37,000 employees, or at most 925 workers, had lost jobs in the last 18 months as a result of work sent overseas. Only about 50 of those positions involved clinical management of care, she said.

WellPoint’s “sourcing strategies have enabled us to make our services more effective, accessible and affordable to our customers, while allowing us to expand our programs and maintain our service levels,” she said.

WellPoint’s offshoring covers a wide range of departments and tasks involving claims, enrollment, billing, post-service clinical claims review, utilization management and pre-service nursing, according to filings made by company managers and state government officials. Both were helping secure federal trade-assistance benefits for WellPoint workers who have lost jobs because of outsourcing or import competition.

Shannon Cunningham of Columbus, Ohio, who processed medical claims for WellPoint, was laid off last month after a colleague went to the Philippines to train people to do her job.

Cunningham, 43, said she received eight weeks of severance pay. She and others working in medical claims earned $30,000 to $40,000 a year with health benefits, she said.

“I know other countries need work,” said Cunningham, a company employee for three years. But “I just felt like it wasn’t fair. We’re having a rough time too.”

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