CBO: Government insurance plan won't drive private insurance out of business

[w¡n9Nµ7 §£@¥€r 123]

WASHINGTON – A new government health insurance plan sought by President Barack Obama and congressional Democrats could coexist with private insurers without driving them out of business, an analysis by nonpartisan budget experts suggests.

The estimate by the nonpartisan Congressional Budget Office — seen as good news by Democrats — comes as leaders pushed Monday to make progress on health care overhaul before lawmakers go home for their August recess.

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CBO estimates that only 11 million to 12 million people would sign up for the public plan ... CBO estimated about 6 million of those enrolled in the public plan would be workers and family members of employers that joined the exchange.

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The CBO estimated that the public plan would offer premiums about 10 percent lower than private plans.

http://news.yahoo.com/s/ap/20090727/ap_on_...h_care_overhaul

[one...two...tree 2,762]

I hear crickets to the right of me.

[ready4ONE 5,400]

<h1 id="yn-story-title">Op-Ed: Health care status quo would be disaster for middle class</h1>

By House Majority Leader Steny Hoyer (D-MD)

Washington, DC — How’s this for a health care plan? It will make your premiums go up—in fact, it will double health costs over the next ten years. It will strip millions of Americans of their coverage. It will send our deficit through the roof.

That, as President Obama recently pointed out, is the health care plan we choose by doing nothing. That is the status quo, and it will be the health care plan we end up with if health insurance reform fails.

And although no one will come out and argue for a plan that doubles costs and cuts coverage, we are being pushed in just that direction by transparent attempts to kill reform for partisan gain. As one Republican Senator put it, “If we’re able to stop Obama on this, it will be his Waterloo. It will break him.” Another said this about efforts to cover millions more Americans: “We can stall it. And that’s going to be a huge gain for those of us who want to turn this thing over in the 2010 election.”

Failure to reform health care might be a boon for some members of Congress, but it would be a disaster for middle-class families, for the 47 million uninsured Americans, and for small businesses across America.

More of the OpEd article here

[alienlovechild 75]

CBO estimates that only 11 million to 12 million people would sign up for the public plan ... CBO estimated about 6 million of those enrolled in the public plan would be workers and family members of employers that joined the exchange

Why must everyone else pay for it through taxes for such a small number out of 300 million?

Private insurance will become a mark of people with money just as private schools do exist against public schools. Those who opt for private sector pay double for the quality. Some for the public services and more for the private.

The CBO estimated that the public plan would offer premiums about 10 percent lower than private plans.

That's a whopping lie as many will pay nothing because they could afford to pay under the present system.

Yeah, I know. Nobody cares, just sign the friggin bill and figure it out later.

[dalegg 143]

Isn't that why it costs so much?

[one...two...tree 2,762]

We could have insurance be on a tier system. Public insurance would cover specific procedures as well exclude others which would be spelled out. It would be up to the individual who opted for public insurance to purchase supplemental private insurance if they want to expand beyond what their public option offers. IMO, that would go a long way in keeping costs down.

[Heracles 417]

Speaking of NHS, Australia is looking at reforming their own system. Maybe the country should learn from them considering AUS has had universal coverage since 1984. very interesting changes proposed...

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Radical overhaul of Medicare urged

Nick Miller, Mark Metherell and Ari Sharp

July 28, 2009

MEDICARE could be transformed into a more market-driven system, in which everyone chooses between competing health service providers, as part of an overhaul to be considered by the Rudd Government.

Dubbed Medicare Select, the new scheme would require every Australian to join a ‘‘health and hospitals plan’’ offered by government or public or private organizations, with each plan providing a broad range of taxpayer-funded services.

The proposal is a key part of the National Health and Hospitals Reform Commission’s final report on the health system, released yesterday by Prime Minister Kevin Rudd.

The report — the product of 16 months of deliberations by 10 health policy experts — will provide the blueprint for the largest reforms to health care system since the introduction of Medicare in the 1980s.

The report proposes a partial Commonwealth takeover of health services from the states, with Canberra to assume control of all primary health care services outside hospitals, including out-patient services, community health centres, as well as basic dental care and aged care.

In dental care, it proposes a new universal scheme for access to basic dental services, titled ‘‘Denticare Australia’’, in which everyone would have the choice of getting basic dental services either through a private health insurance plan or through public dental services.

The report recommends separating elective and emergency services in public hospitals, an idea it says will lead to better access and greater efficiency in providing planned surgery and procedures.

And it says that by 2012, every Australian should have an electronic health record — part of broader growth in ‘‘e-health’’ measures, which could radically change the experience some patients have with their doctors, eventually leading to activities such as electronic prescribing.

The report also recommends the creation of a new National Aboriginal and Torres Strait Islander Health Authority to be the single purchasing body for health care services for indigenous Australians.

‘‘The case for health reform is compelling,’’ the report states, arguing that Australia has a ‘‘fragmented health system with a complex division of funding responsibilities and performance accountabilities between different levels of government’’.

The commission has estimated that its reform plan could increase overall recurrent costs by up to $5.7 billion a year and capital investment by up to $7.3 billion over five years.

Mr Rudd said the commission’s recommendations were the most significant since the introduction of Medicare and had ‘‘massive implications’’ for all Australians.

He said the Government would not rush into any changes. He also said any decision to take over the entire hospital system — which he threatened during the 2007 election campaign — would be put off for at least six months.

‘‘Fundamental decisions about the entire system must not be taken lightly and we don’t intend to do so,’’ he said.

The commission’s report said ‘‘Medicare Select’’ would make the health system more flexible, efficient and give people new choice as to the health service they get for their ‘‘Medicare dollar’’. Under the new system, the Federal Government would pay health plan providers for individuals’ Medicare entitlements, adjusted according to their risk level — more for the old and sick, less for the young and well.

The plan providers would use the money to fund a range of publicly-funded services from public and private hospitals, doctors and specialists.

Christine Bennett, chair of the commission and chief medical officer for insurer BUPA, said Medicare Select would not carry the same risks and limitations as US-style ‘‘managed care’’, because it would come with guaranteed universal service levels. ‘‘The central idea is you don’t lose, you only stand to gain,’’ she said. ‘‘We are backing the idea that quasi-market forces, and the power of consumer choice, will lead to a better and more responsible delivery (of health services).’’

Dr Bennett said Medicare Select was still a ‘‘concept’’ rather than a fully-developed idea.

All Australians would automatically belong to a government-operated plan, run either nationally or by state governments. But other plans could be put together by private insurers, not-for-profit organisations, or regional centres.

They will contract with public and private health service providers such as hospitals, GPs, pathology labs and allied health groups. The blueprint anticipates that this contracting process would create competition between providers, who would offer better cost or quality guarantees to the plan provider.

These benefits would be passed on to plan membersToday Mr Rudd and Health Minister Nicola Roxon will be at the Royal North Shore hospital in Sydney on the first of 25 planned visits to major teaching hospitals ‘‘to hear from those in the front-line of health and hospital care — warts and all’’.

The Australian Medical Association welcomed the the report but said it set ‘‘some very, very ambitious targets’’.

The Brumby Government welcomed the report but is understood to remain sceptical about any Canberra takeover of the state’s health system.

Victorian sources argue state hospitals are treating record numbers of patients and treating patients quicker with over 14,500 additional patients receiving their surgery in clinically appropriate time compared to the last reported year.

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Edited July 27, 2009 by haza

[rebeccajo 14]

Why must everyone else pay for it through taxes for such a small number out of 300 million?

If the private insurers hadn't been screwing us all for the last 20 years, more people would have coverage because employers wouldn't have stopped covering workers! Small business owners wouldn't be screwed just because their 'group' is small! And people who aren't insured through a regular J-O-B job might actually be able to AFFORD coverage.

Why don't you take it up with them instead of bitching about your taxes possibly going up.

And when are you going to realize that your 'small number' are PEOPLE with LIVES.

Have you ever been uninsured? Does anyone in your family have a health issue? What would you without that coverage your employer pays for?

Honestly - how can people like you be just so - I can't find the polite words - just so completely ungrateful for your blessings and so completely unconcerned about your fellow man?

[Mr. Big Dog 10,747]

Op-Ed: Health care status quo would be disaster for middle class

By House Majority Leader Steny Hoyer (D-MD)

Cost-saving measures will include the bargaining power of a public insurance option,

More of the OpEd article here

Now, the CBO estimate of low participation in the public option plan negates this very argument - low participation translates directly into low bargaining powers. Either the CBO estimate is off - which would seem to be the case if the health care "reform" bill will insure only 10-12 of the nearly 50 million currently uninsured not to say anything about the scores of currently under-insured - or there will be no grand bargaining power.

Second, and more importantly, as long as doctors get paid based on the number of services rendered rather than on treating the patient for the best outcome - i.e. as long as we fail to address the fee-for-service scheme - cost savings will not be realized.

If there were cost savings to be expected - nobody actually claims that but rather there's talk of slowing the pace of rising costs - then we wouldn't be talking about a trillion dollar + measure. Again, I don't see how, given the fact that we already spend roughly twice per capita what any other developed nation spends on health care for their population, we cannot get universal health care established in this country w/o any additional funding need. There have got to be - and there are - opportunities to cut waste in the current system and deliver quality care to all with the current expenditures. The problem is that that those that absorb all this waste (nearly half a trillion dollars each year) have ensured that they will continue to feed richly at all of our expense.

[rebeccajo 14]

Op-Ed: Health care status quo would be disaster for middle class

By House Majority Leader Steny Hoyer (D-MD)

Cost-saving measures will include the bargaining power of a public insurance option,

More of the OpEd article here

Now, the CBO estimate of low participation in the public option plan negates this very argument - low participation translates directly into low bargaining powers. Either the CBO estimate is off - which would seem to be the case if the health care "reform" bill will insure only 10-12 of the nearly 50 million currently uninsured not to say anything about the scores of currently under-insured - or there will be no grand bargaining power.

Second, and more importantly, as long as doctors get paid based on the number of services rendered rather than on treating the patient for the best outcome - i.e. as long as we fail to address the fee-for-service scheme - cost savings will not be realized.

If there were cost savings to be expected - nobody actually claims that but rather there's talk of slowing the pace of rising costs - then we wouldn't be talking about a trillion dollar + measure. Again, I don't see how, given the fact that we already spend roughly twice per capita what any other developed nation spends on health care for their population, we cannot get universal health care established in this country w/o any additional funding need. There have got to be - and there are - opportunities to cut waste in the current system and deliver quality care to all with the current expenditures. The problem is that that those that absorb all this waste (nearly half a trillion dollars each year) have ensured that they will continue to feed richly at all of our expense.

Reinhard -

If the cost of joining this plan is only about 10% below market rates, it's not going to help those currently uninsured. People are going to need rates AT LEAST comparable to the EMPLOYEE PORTION they would pay of a plan offered through their employer.

If that ends up being the cost, I'm guessing there would be far fewer than 10 million joining the plan.

[Mr. Big Dog 10,747]

Op-Ed: Health care status quo would be disaster for middle class

By House Majority Leader Steny Hoyer (D-MD)

Cost-saving measures will include the bargaining power of a public insurance option,

More of the OpEd article here

Now, the CBO estimate of low participation in the public option plan negates this very argument - low participation translates directly into low bargaining powers. Either the CBO estimate is off - which would seem to be the case if the health care "reform" bill will insure only 10-12 of the nearly 50 million currently uninsured not to say anything about the scores of currently under-insured - or there will be no grand bargaining power.

Second, and more importantly, as long as doctors get paid based on the number of services rendered rather than on treating the patient for the best outcome - i.e. as long as we fail to address the fee-for-service scheme - cost savings will not be realized.

If there were cost savings to be expected - nobody actually claims that but rather there's talk of slowing the pace of rising costs - then we wouldn't be talking about a trillion dollar + measure. Again, I don't see how, given the fact that we already spend roughly twice per capita what any other developed nation spends on health care for their population, we cannot get universal health care established in this country w/o any additional funding need. There have got to be - and there are - opportunities to cut waste in the current system and deliver quality care to all with the current expenditures. The problem is that that those that absorb all this waste (nearly half a trillion dollars each year) have ensured that they will continue to feed richly at all of our expense.

Reinhard -

If the cost of joining this plan is only about 10% below market rates, it's not going to help those currently uninsured. People are going to need rates AT LEAST comparable to the EMPLOYEE PORTION they would pay of a plan offered through their employer.

If that ends up being the cost, I'm guessing there would be far fewer than 10 million joining the plan.

Yes, so that addresses the issue of affordability (not gonna happen), bargaining power (just ain't there), cost cutting (again, not gonna happen). If these are off the table, then what's left? And why does anyone still call this reform?

[HAL 9000 96]

It is very odd indeed.

What IS Obama thinking of this or is his primary concern is first-line coverage for as many people first and then a downward shift towards more efficient coverage under a superior system?

Socialism I tell ya!

[luckytxn 2,264]

Sounds like Americans are going to be forced to pay for deadbeats again. Way to go Obama the Socialist.

[rebeccajo 14]

Yes, so that addresses the issue of affordability (not gonna happen), bargaining power (just ain't there), cost cutting (again, not gonna happen). If these are off the table, then what's left? And why does anyone still call this reform?

I don't know.

All I know is that before it's all over, I'm liable to end up living in Northern Ireland.

Sounds like Americans are going to be forced to pay for deadbeats again. Way to go Obama the Socialist.

Why don't you take a long walk off a short pier?

[Pinocchio Liberal 268]

Why must everyone else pay for it through taxes for such a small number out of 300 million?

If the private insurers hadn't been screwing us all for the last 20 years, more people would have coverage because employers wouldn't have stopped covering workers! Small business owners wouldn't be screwed just because their 'group' is small! And people who aren't insured through a regular J-O-B job might actually be able to AFFORD coverage.

Why don't you take it up with them instead of bitching about your taxes possibly going up.

And when are you going to realize that your 'small number' are PEOPLE with LIVES.

Have you ever been uninsured? Does anyone in your family have a health issue? What would you without that coverage your employer pays for?

Honestly - how can people like you be just so - I can't find the polite words - just so completely ungrateful for your blessings and so completely unconcerned about your fellow man?

Youve been sucked into the vidictive BS libs spread like mayo. Must not include our fellow man /woman who works at said insurance companies.