Health insurance debate turns to issue of co-ops

SEATTLE -- After 30 years of punishing caseloads and never-ending stacks of paperwork, Harry Shriver was getting ready to hang up his doctor's coat and retire when he tried something new.

Shriver's practice, part of a health care cooperative in Washington state, launched a program that allowed him to cut his appointments from 24 to 12 a day, leaving him more time for each patient. He also now handles routine requests such as prescription refills through e-mail and relies more on electronic medical records to track test results and coordinate care.

"For the first time in my career I have the time to think ahead," said Shriver, chief doctor at a clinic run by Group Health Cooperative, one of the nation's last remaining health care co-ops. "I'm doing things that really are making a difference — and it's fun."

After months of stalled debate in Congress over a proposed government-run health insurance plan, or so-called public plan, some lawmakers are eyeing cooperatives such as Group Health as a model that could drive down costs and improve the quality of care through innovative programs and technology.

Co-ops, which would be run by their patients instead of the government, have been under discussion in Congress for months but gained renewed attention this week when Health and Human Services Secretary Kathleen Sebelius signaled the administration might support the idea.

White House spokesman Robert Gibbs later said President Obama still prefers a government-run program, but he is "willing to listen" to other ideas — as long as they foster competition with private insurers and drive down the spiraling cost of health care.

Overall, health care in the United States is expected to cost $2.6 trillion this year, or 17% of the nation's economy.

Republicans such as Senate Minority Leader Mitch McConnell of Kentucky are concerned that a taxpayer-subsidized government insurance plan would have an unfair advantage and would eventually take in millions of Americans with private coverage.

Because they would be run by members, co-ops could offer a political compromise. Some Republicans, including Sen. Richard Shelby, R-Ala., have suggested the insurance cooperatives are worth considering.