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Unpublished 1935 Report On Health Insurance And Disability By The Committee On Economic Security

Creator:  Committee on Economic Security (authors)
Date: March 7, 1935
Source: Social Security Online History Page

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(16) The administrative authorities should be empowered to enter into contractual arrangements with hospitals, clinics, laboratories, individuals or organizations furnishing medicines, appliances or supplies, for the appropriate services or commodities;

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(17) A schedule of rates for various hospital services should be prepared by the state hospital board or other appropriate state authority, dealing with hospitals in connection with the health insurance act, and this schedule may include different rates applicable to different sized communities, or maximum and minimum rates. The local board or other authority dealing with hospitals under the health insurance act should present proposals for state rates to be applicable to their areas which are to be approved by the state hospital authority and by the state administrative authority before becoming effective;

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(18) Systems of remuneration for dental services should permit flexibility in respect to different procedures to be used in paying for: (a) minimal essential dental services which are to be available to all persons eligible to receive the services) and (b) additional dental services whose costs may be divided between the insurance funds and the individuals served;

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(19) The state medical board should prepare a list of especially expensive medicines, commodities) and appliances which, when approved by the state administrative authority, should be the approved list. The determination of business arrangements, prices, etc. should be by the administrative authority. The administrative authority may specify a maximum sum which shall be allocated during a year or a quarterly period in the State as a whole or in its several districts for the provision of these commodities;

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(20) Schedules of professional remuneration established within states should be subject to periodic readjustment with due regard to the general financial status of the insurance system;

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(21) So far as public medical services or public health agencies provide certain special services for practically the entire population (e.g., care of mental and of certain communicable diseases), these should not be covered by health insurance contributions;

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(22) In so far as public medical services provide general medical care for certain groups of the population, public funds should pay into the health insurance system an agreed amount figured on a per capita basis (or other suitable method) so that the medical service to these groups of the population shall be administered through the health insurance system. This would cover the general medical services, for instance, to relief and work-relief cases;

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(23) When general hospital services are provided to insured persons through governmental hospitals (city) county, state), financial adjustment should be made between the public authorities administering these hospitals and the health insurance authorities for the hospital care of insured persons. The administrative authorities of governmental hospitals should have an appropriate place among the authorities or in the councils of the health insurance system;

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(24) State and local health officers should be closely associated with the state and local administration of health insurance;

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(25) The State law should provide for the proper handling by the State of health insurance funds with due reports to the Federal government, for which Federal subsidies or grants are to be made. In any State which creates insurance to provide both cash and medical benefits there shall be separate accounting of sums paid in and paid out for each class of benefits;

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(26) Agencies organized for profit should be excluded from the administration of the system, either in States as a whole or in local areas;

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(27) The State law should provide for responsibility and representation in the State administration of the professions and professional agencies concerned with furnishing medical services) as indicated at various points above;

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(28) Differences or disputes which arise between physicians cr dentists or which involve only professional questions should be arbitrated or decided by wholly professional boards. Differences or disputes between physicians or dentists and insured persons should be arbitrated or decided by mixed boards representing the profession concerned, the insured persons and the administrative authorities.

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