First of all, universal health insurance is a scam. Insurance is a shared risk pool so putting people with preexisting conditions into that pool to be covered just hurts everyone else. If you want the government to treat people with preexisting conditions go ahead and do so, but don't bring in an additional layer of bureaucracy for no good reason.
Coverage of pre-existing conditions without universal coverage certainly can't work, because that isn't insurance. People have the incentive to not sign up until they're sick, and then drop coverage once they're healthy again, which bankrupts the insurance system.
However, with universal coverage there is no such thing as a "pre-existing condition" other than during a transition period. If somebody is insured from the moment they are conceived, then no condition can pre-exist conception.
Of course, universal coverage isn't really "insurance" as much as a socialized benefit. And I'll certainly agree that the ACA as it currently stands doesn't achieve universal coverage.
Furthermore, people seem to not understand healthcare is a scarce resource. That means not everyone can be treated for everything. The resources need to be divided amongst the population. Socialized medicine puts control of this decision into the hands of politicians.
No argument with any of that. However, EVERY insurance system puts control over coverage in the hands of somebody. For most in the US it basically resides with your employer, without a great deal of visibility into how decisions get made. One of the advantages of a government-run plan is that the decision logic can be subject to the democratic process. As you point out, that can also be a disadvantage. I have no illusions that the well-connected will get the same care as the average person under any system.
I don't have an objection to people with money paying for their own services. However, the way the US system really doesn't make this a real option for all but the most wealthy for any problem of any significance. From hospital bills I've seen the list prices for serious procedures often work out to upwards of $100k, with insurance companies paying 8-9% of that, and individuals paying 1-2% of that, and the hospital discounting the other 90%. If you pay cash they'll offer you a "nice" deal of maybe 50-70% off and then bankrupt you, and most people think they were getting a good deal when this happens.