Dive Brief:
- Vermont is planning to launch what will be the first universal healthcare system in 2017. The new system will be based on a form of Medicare-for-all.
- The new plan will combine universal coverage with new cost controls which will pay providers a set budget to care for a set number of patients.
- Such an effort is more feasible in Vermont than in other states, partly because it's the most liberal state in the U.S. and partly because it's small, with a population of about 626,000 and just 15 non-profit hospitals. Also, 91 percent of its population is already covered.
- It remains to be seen how the state will actually cover everyone. For example, the system won't include federal employees or self-insured employers.
Dive Insight:
Seven years ago, Massachusetts set the tone for the nation's efforts when it launched its own universal healthcare system. In theory, Vermont's health reform efforts could serve as a model for a national Medicare-for-all scheme as well. The question, as it was back when Massachusetts kicked off its efforts, is whether a state plan could scale up to serve as a federal model. Medicare-for-all plans have certainly been discussed on the Hill as part of the reform debate, but it never had serious traction. And while the ACA is the law of the land, it's obviously had a very rocky start. So while Vermont's plans are very interesting, they may not presage a federal single-payer system.