Three minor fixes could be made that would greatly reduce costs:

-Reform malpractice litigation / make Plaintiffs liable for the defense costs if their litigation is found to be without merit. Currently most trial attorney's work on a contingency basis (they only collect money if they win), and a doctor (or the doctor's liabiliy insurance company) spends tens of thousands of dollars defending any and all litigation that comes his or her way. Even if he or she is found to be without fault, they are stlll out that money, and their insurance carrier is going to take them on their premium at the next renewal (I know, because I am an underwriter. Loss history is a big part of premium). This means that there's basically no reason NOT to sue a doctor for any little issue that you may have. If you make the plaintiff liable for defense costs when the defendent is found non-liable, then you do create some sort of risk wtih the plaintiff as well, and the "I might as well sue" mentality goes out the window.

-Remove the prescription requirements. I have ADHD, and in order to fill a prescription for Ritalin, I have to see a doctor once every other year to make sure that I'm not just some junkie looking to score poor-man's Coke. This ties in to my view on the drug laws, but if you remove the government's requirement that you need a permission slip to put something in your body, then getting a bottle of Ritalin would be as easy as getting a bottle of Bayer. That eliminates the cost of the visit to the doctor off the top of the drug cost, and by extension a large portion of the doctor's expenses (which get passed back to the consumer) as well.

-Eliminate (or restrict) copyrights on drugs / create incentives for generic drugs. This goes with the previous one as well. Do you know what the difference is between Ritalin and Methylphenidate? The name. That's it. Generic equivilants are available on just about every drug out there, but more often than not people opt for the brand-name because they think it's "better". Since it's their employer (or Medicare / Medicaid) and not themselves that are paying for the drugs, they have no reason to go generic, it's not like it's their money! By eliminating the prescription requirement AND allowing more generic equivilants to enter the marketplace, you increase supply. When you increase supply and keep demand constant, you decrease the price.