Billionaire entrepreneur Mark Cuban has proposed a radical overhaul of the U.S. healthcare system, calling for the elimination of insurance companies and a shift to cash payments. Writing on his blog, Cuban argued that the current $5 trillion healthcare system is artificially complicated by financial engineering rather than focused on patient care.

Cuban's Cost Plus Drugs company, which publishes transparent pricing with clear markups, serves as the model for his broader vision. He contends that healthcare should resemble its 1955 simplicity: patients receive care, get a bill, and pay if they can afford it. The only legitimate question, he argues, is how to pay for those who cannot afford care.

His proposal includes publishing true 'Bill of Materials' costs, separating capital expenditures from direct patient care expenses, and eliminating the 20-30% administrative costs tied to insurance. By removing insurance companies and transitioning to cash payments, Cuban estimates potential savings of $2.5 trillion from the current $5 trillion system. He suggests employers could redirect premium payments to federal programs while maintaining Medicare and Medicaid, creating a more transparent and potentially cheaper healthcare framework.