Real Health Reform?
Jul 2
Democrats on a key Senate Committee outlined a revised and far less costly health care plan Wednesday night that includes a government-run insurance option and an annual fee on employers who do not offer coverage to their workers.
The plan carries a 10-year price tag of slightly over $600 billion, and would lead toward an estimated 97 percent of all Americans having coverage, according to the Congressional Budget Office, Sens. Edward M. Kennedy and Chris Dodd said in a letter to other members of the Senate Health, Education, Labor and Pensions Committee. The AP obtained a copy.
By contrast, an earlier, incomplete proposal carried a price tag of roughly $1 trillion and would have left millions uninsured, CBO analysts said in mid-June.
So, with the more progressive plan, we can cover 97% of the country for less than the bank bailouts and keep the current system of employment based insurance (this is not something I care about, but it does allow people to keep their current plans.) The “moderate” plan cost 1.6 trillion dollars and did not provide a real choice for people.
Now, the details will be important. It sounds like companies might be allowed to drop employees and just pay a 750 dollar fine per employee per year. The AP says that provision will work to prevent companies from dropping employees, but I don’t see how. The subsidies for people who cannot afford insurnce are important, as well s the details of the public plan. The TNR health blog likes the plan, but seems to think that the public plan would be state based, something that scares me. But t the end of the day, this appears to be a giant step in the right direction and a strong rebuke to the so-called moderates who would charge more for much less in defense of insurance company monopolies.
It appears that Kennedy, the old liberal lion of the Senate, had at least one more roar in him.
EDIT:
Looks like a national plan, so the bargaining power and thus the full benefit of the plan remain in place.