House Healthcare Bill: Government-Run Plan, Other Key Provisions Undermine Goals of Access and Aff...(w it is initially structured - to take o...),Health

Date:10/29/2009

w it is initially structured - to take over the market. Although House leadership is now proposing to use "negotiated" rates to pay providers, the government does not negotiate. It would quickly resort to price-setting based on Medicare or use existing government programs as leverage for negotiations, creating similar effects.

The House bill would give the government-run plan many financial advantages right from the start, including an exemption from federal and state taxes and other assessments that private plans must pay, immunity from state lawsuits, as well as a host of other state rules and regulations. Moreover, the government plan would receive at least $2 billion in start-up capital.

Affordability

For healthcare reform to succeed, insurance premiums must be affordable. However, the House bill's proposed insurance reforms would allow people to wait to purchase coverage until they are sick, which will result in higher costs for everyone. Moreover, the bill requires minimum benefit levels that are higher than the average policy purchased in the market today, which will significantly increase costs for consumers.

We also are very concerned that the age-related discounts for the young proposed in this legislation are significantly lower than what exists in nearly all states today. This would unfairly burden the youngest and healthiest individuals, raising their premiums by an average of 69 percent, according to actuarial firm Oliver Wyman, Inc. Premium discounts for younger individuals are critical to encouraging them to buy coverage and provide cross subsidies essential to pay for the care of older individuals.

Federal exchange

The House bill would create a new federal agency to administer a national exchange that would be open to employers up to group size 100 within three years and could be expanded to everyone starting in 2015. While we agree that exchanges are needed to h
'/>"/>

SOURCE Blue Cross and Blue Shield Association Copyright©2009 PR Newswire. All rights reserved

0 GOOD

Page: 1 2 3
Related medicine news :

1. Bread for the World Urges House Committee to Support U.S. Global Hunger Initiative
2. House Judiciary Committee Hearing Calls Attention to Long-Term Effects of Head Injury Among NFL Players
3. Mark McGwires Message: Cheat, Do Drugs, Cover Up When Congress Investigates, Says Ex-White House Drug Spokesman Bob Weiner; World Series Should Test Both Teams During Games
4. Household Insecticides May Be Linked to Autoimmune Diseases
5. Fight to Preserve Flexible Spending Accounts Moves to the House of Representatives
6. Philadelphia-Born Ronald McDonald House(R) Program Celebrates 35 Years
7. House Public Option Still Viable, Says House Committee on Aging & Health Subcom. Ex-Director Bob Weiner
8. Torrids Model Search Winners, Celebrities Celebrate Fashion and Help Support the National Breast Cancer Foundation at the House of Dreams Event
9. Personal Symmetrics, Provider of Post-Mastectomy Services, to Host Open House
10. Gut worms may protect against house-dust mite allergy
11. Sickday Medical House Calls Launches Low Cost Neighborhood Service For Uninsured New Yorkers