Navigation Links
Health Affairs Report On Mass. Mandatory Insurance Law Confirms: Strong Public Option Must Be Included in National Health Reform
Date:5/28/2009

WASHINGTON, May 28 /PRNewswire-USNewswire/ -- A study released today in Health Affairs finds that a Massachusetts law requiring all to show proof of health insurance has resulted in higher costs. This predictable result confirms that President Obama's promised "public option" to private insurance must be a part of national health reform, said Consumer Watchdog.

Consumer Watchdog said that Massachusetts' experience shows that reform is unaffordable without a public option like Medicare in competition with for-profit insurance companies. Unlike Massachusetts which is dominated by non-profit insurers, the mandatory purchase approach would be much more damaging if applied nationally, where most HMOs and insurance companies are for-profit and take 25% or more of premium charges for overhead and profit.

The Massachusetts law, similar to proposals pushed by health insurers at the national level, requires every person to either buy an insurance policy or show proof that an employer provides one, but does not regulate what insurers can charge. The state does not limit health insurance overhead and profit, and does not limit how much people have to pay out-of-pocket when they get sick. As result, the study released today found that the number of adults "who reported that they did not get care that they thought they needed" has increased due to the proliferation of high-deductible health insurance policies that require patients to pay up to thousands of dollars out-of-pocket before accessing care.

"Under the mandatory purchase approach, particularly one that does not provide a public option to for-profit insurance companies, patients might be technically 'insured' but will not receive the coverage they need when they get sick," said Jerry Flanagan, Health Care Policy Director for Consumer Watchdog. "National health reform must provide the American public an option to buy coverage through Medicare whose low-overhead costs provide the most health care for our dollar. Competition with a low-cost alternative will help keep the likes of WellPoint, United Health, and Humana in check."

According to Consumer Watchdog, the biggest advantage of a voluntary public option is that it is inexpensive to administer. Medicare's low administrative overhead costs (2 percent) are well below the overhead costs charged to large companies that are self-insured (5 to 10 percent of premiums), companies in the small group market (25 to 27 percent of premiums), and individual insurance (40 percent of premiums).

** Read about a recent national poll that found that 65% of voters support giving every American of any age the option of joining Medicare; 60% are willing to pay more in payroll deductions for this option. http://www.consumerwatchdog.org/patients/articles/?storyId=24826

** Read about a national poll that found, by contrast, that only 16% of U.S. voters support, and 53% oppose, the insurance industries' plan of requiring every American to provide proof of private health insurance or face tax penalties or other fines. http://www.consumerwatchdog.org/patients/articles/?storyId=24110

Consumer Watchdog is a non-profit and non-partisan consumer advocacy organization with offices in Washington, D.C. and Santa Monica, California. For more information, visit us on the web at: http://www.ConsumerWatchdog.org


'/>"/>
SOURCE Consumer Watchdog
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Penn study finds pro-death proteins required to regulate healthy immune function
2. UCLA researchers identify markers that may predict diabetes in still-healthy people
3. Air pollution linked to cardiovascular risk indices in healthy young adults
4. More proof needed of safety and quality of electronic personal health records
5. Health care incentive model offers collaborative approach
6. Loneliness is bad for your health
7. Mailman School of Public Health study examines link between racial discrimination and substance use
8. Green Tea May Brew Up Healthier Skin
9. For Health Info, Women Often Turn to the Web
10. Record Number of Americans Lack Health Insurance
11. U.S. Research Funding Continues to Flatten as U.S. Health Costs Climb - in August 31 Science
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/12/2016)... (PRWEB) , ... February 12, ... ... Foundation today announced a new initiative—the Siemens Foundation-PATH Ingenuity Fellowships—to develop the ... partnership will recruit top students from U.S. universities who will draw from ...
(Date:2/12/2016)... ... February 12, 2016 , ... Fixed Dose ... – 3:00 p.m. EST, http://www.fdanews.com/fixeddosecombination , Fixed dose ... products, garnering increased attention from all stakeholders in the development of new chemical ...
(Date:2/12/2016)... ... February 12, 2016 , ... Coco Libre, the maker ... Red Carpet Events LA GRAMMY’s Style Lounge Event. Coco Libre will offer musicians and ... hydrated before the big event. The invitation-only gifting suite, held this year at the ...
(Date:2/12/2016)... ... 12, 2016 , ... Itopia, a leader in cloud services ... Intelligence Platform (CIP) into Cielo®, a discovery, migration and cloud orchestration engine. This ... small and medium business (SMB) clients. , In recent years, BI ...
(Date:2/12/2016)... ... February 12, 2016 , ... AssureVest Insurance Group, a locally owned insurance firm ... that will raise funds earmarked to purchase computers and software for Mrs. Harrison’s 2nd ... school is in a low-income area and has more than 60 2nd and 3rd ...
Breaking Medicine News(10 mins):
(Date:2/12/2016)... , 12 februari 2016 AAIPharma ... toonaangevende leverancier van productie en ontwikkeling op ... kondigt vandaag een uitbreiding aan van steriele ... locatie in Charleston, SC ... tot meerdere recente investeringen. http://photos.prnewswire.com/prnh/20150806/256637LOGO ...
(Date:2/12/2016)... BUDAPEST , Ungarn, February 12, 2016 ... ein Medizintechnikunternehmen, das sich auf den ungedeckten ... gab heute positive Ergebnisse seines klinischen Forschungsprogramms ... und Asthma-Patienten beschäftigt, ergab Verbesserungen ihrer respiratorischen ... Indiso ltd , ein Medizintechnikunternehmen, das ...
(Date:2/11/2016)... 2016 - Cardiac Marker ... Medicine and Cancer Therapy. - European Point of ... Markets. - Key Diagnostic Testing Markets. - ... in Genetic Testing. - Molecular Diagnostics in Infectious ... Over-the-Counter Diagnostic Products World Markets. - Point of ...
Breaking Medicine Technology: