By STEVEN FINDLAY
Earlier this month an 86-year old man in Florida killed his 78-year old wife. He called 911 and when the cops arrived he confessed. When asked why he did it, the man told authorities that the couple could no longer afford her medications. She’d been sick for 15 years, the man said, and was often in pain.
News sources reported that the couple filed for bankruptcy in 2011. At the time, they had $53,900 in liabilities, most in medical bills put on their credit card. They lived primarily on social security.
There’s very likely more to this sad story, and it’s unclear why Medicare didn’t cover most of the couple’s drug costs. He told authorities he shot his wife (while she slept, by the way) because they had “run out of options.”
Related, a few months back a Massachusetts Institute of Technology economist and a Harvard oncologist proposed that banks create a new kind of long-term loan—pegged somewhere between a car loan and a home mortgage—that would let people borrow money to pay for expensive medicines. For example, a loan for a $100,000-a-year drug might require pay back in 9 years at an annual 9% interest rate, they suggested.
With a nod towards value-based payment, they proposed that a borrower would not have to repay a loan if the therapy didn’t work or if the patient died. Andrew Lo, of MIT’s Sloan School of Management, and Dr. David Weinstock, an oncologist at the Dana-Farber Cancer Institute, told news outlets they agreed that good insurance would be a much better option. “This is a private sector stopgap way to deal with [the drug price/cost problem] right now,” said Lo.
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