> One of the bigger problems in healthcare is also over-utilization i.e. getting things are are technically covered under insurance but not objectively medically necessary or getting a more expensive brand name drug over a chemically equivalent generic drug.

Another problem is that procedures and appointments that could be considered routine maintenance in other areas are paid for by insurance. You don't use car insurance to pay for oil changes or new tires. Services such as annual physicals/check ups, vaccinations, etc should be cheap enough to pay for out of pocket.

That would leave insurance to pay for the more expensive forms of care, just like one would use car insurance to pay for damage as a result of a collision.