The bill also establishes an “exchange” that presents a selection of health coverage alternatives including a newly created public plan that would compete with private insurers for enrollment. Insurance markets are reformed to assure guaranteed issue to all applicants regardless of health status. Also, insurers would be prohibited from charging higher premiums on the basis of health status. The Act also includes a series of reductions in spending under Medicare.” (source: The Lewin Group)

For more of this analysis: http://www.lewin.com/content/publications/Lewin-HouseBillAnalysis-Heritage.pdf

However, it appears that since legislation for direct government control over the health industry has failed to generate wide-spread approval, the administration’s focus has moved toward government insurance policies to accomplish the goal. The administration is now moving toward a strategy of public option insurance to compete with private insurance policies.

• Prohibits changes to any insurance policy purchased prior to 2013 or face forfeiture of the policy and force automatic enrollment in the government plan.
• Establishes new health standards and requires all future insurance policies be purchased through a health insurance exchange.
• Decides which private insurance companies are allowed in the exchange market, but prohibits insurers from selling policies to individuals in a private marketplace.
• Allows government to lower payment schedules to doctors/hospitals (based on their estimated reimbursement plans), which will allow the public option plan to introduce lower premiums, which will gradually eliminate higher-cost, private plans.
• Requires small business employers to provide health insurance to all employees or face fines of 8% of the individual’s wages.
• Requires the employer to pay a fine of a percentage of the employee’s wages, even when he voluntarily leaves the employer’s plan.

While this cost-benefit analysis is currently a part of health-care decisions, the core issue is whether those decisions will be dictated by government politics (FHB) or by prices (a private insurance system). “The last six months of life are a particularly difficult moral issue because that is when most health-care spending occurs. But who would you rather have making decisions about whether a treatment is worth the price — the combination of you, your doctor and a private insurer, or a government board that cuts everyone off at $22,000?” See full article: http://online.wsj.com/article/SB124692973435303415.html

• Over 250-million Americans have purchased health insurance, but the Democrat Congress claims a “crisis” exists because this coverage does not include 47 million who have not acquired health insurance. Of this 47 million: 24 million are already eligible for coverage, but have not enrolled or have refused to purchase insurance; 17 million cannot afford the cost; and 6 million are not U.S. citizens (illegal immigrants). http://online.wsj.com/article/SB124709618142215031.html
• The 17-million citizens (less than 6 %) who cannot afford coverage is a major concern, but one which can be resolved without the complete overhaul of America’s health industry. While Congress pushes for more government control over our lives (this time one-sixth of America’s GDP), other proposed plans to cover this 6 % of all citizens have been ignored or underutilized.
• The majority of the 17 million without health care coverage are people who are temporarily unemployed. When those temporarily without insurance are set aside, the number of people effectively without health care insurance at any given time is less than 2%. Therefore, it is this 2% group that Congress cites as the “crisis” to be resolved. These numbers demonstrate the underutilization of existing government programs.

• Over 85% of the U.S. population has access to insurance or has purchased coverage. Congress wants health care coverage for the 47 million (15%) uninsured, yet only about 17 million (5%) are low-income and jobless citizens.
• President Obama wants a government-managed, single-payer plan which total overhauls the Private Health Care market, rather than simply resolving insurance issues of this group.
• Although the public option may begin with private insurance plans available, the government will quickly undercut private insurance premiums and market competition will cease. Eventually, the policies President Obama has demanded will centralize control over the health care system in Washington. No longer will patients have the option of private insurance plans or their own doctor.
• Review of the public option strategy: http://vodpod.com/watch/1953788-obamas-hearth-care-deception-public-option-will-end-up-single-payer-per-their-plan
• Obama’s goal is to rush passage of a health care plan by early August, rather than risk changes to his goal if these issues are reviewed. He would rather have a quick vote on the current plan than create a correct program for America.
• Time is moving on and Obama feels this health care legislation must pass now, during the remaining strains of his popularity. Strangely irresponsible for what may be the largest legislation package in the history of the United States.

• A government-run insurance policy (the Public Option) would likely be available at the beginning of this evolutionary process, but it is designed to be the only survivor after a relatively short time.
• What has Obama said about single-payer? http://vodpod.com/watch/1765187-obama-on-single-payer-healthcare-program
• Government controlled payments for doctor/hospital services will be 75% lower and will result in lower premium prices for the Public Plan versus any Private Plan.
• Employers will reduce their employee costs by backing out of current insurance plans. Over 113 million citizens will be forced into the government-run plan, which will make a mockery of President Obama’s promise that a person can keep their private insurance options.
• This public option will basically be “Medicare for young people”. Currently, Medicare payments are 20% of actual fee and service costs, while the other 80% is covered in part by private insurance plans for younger patients.
• New legislation will limit fee payments for younger patients to 5% over current Medicare and Medicaid payments.
• Therefore, government payments for all health costs will be 75% short of actual, with this shortfall being covered by the only remaining group – the U.S. taxpayer.
• The CBO estimates $1.6 trillion cost over 10 years with only one-third of the uninsured patients being covered, with CBO Director Elmendorf stating the legislation being debated would raise health care costs, not lower them – long term.

• The bill requires every person to purchase what the new government agency considers a “qualified plan” in your best interest. Individuals must prove ownership of an acceptable plan when filing with the IRS each year.
• If an individual or employer does not acquire a regulated insurance policy, a fine will be accessed:
  • An individual’s penalty would be 2.5% of their income. Employers would be penalized 8% of an employee’s income, with an exemption for small-businesses.
• Total price tag is unknown, but would rely on cuts in Medicare and Medicaid to begin slowing the rate of growth in overall health care spending.
  • The bill would impose 5.4 % surtax on couples earning over $1 million annually; 1.5 % on couples earning over $500,000; and 1 % on couples earning over $350,000. This surtax is estimated to raise over $500 billion over 10 years.
• While physicians will need to follow decisions made by the Federal Health Board, the same physicians will be legally responsible for any resulting problems and still subject to law suits. Therefore, the high cost of malpractice insurance will remain.
• A highly charged concept is the “Advanced Care Planning Consultation”, created in the House legislation, which is a veiled attempt to convince the elderly to end their lives when costs and rationing become issues for younger patients. This concept comes directly out of the horror movies of the past.
• “Federal Health Board”, created in the House legislation, would rule in the cost of care, as it relates to the age of an individual and his/her own health records. This board of health care and fiduciary experts will solely decide the fate of an elderly patient’s treatment, as it relates to sharing of costs with a younger patient’s needs.
• If illegal immigrants are brought into this plan, we will soon find elderly American citizens searching for certain treatments, but forced to stand in line BEHIND these non-citizens.

• Summary of Kennedy bill: http://www.chsr.org/Affordable%20Health%20Choices%20Act%20Summary.pdf

• Basically, this plan requires all individuals to be covered, without precondition issues, and full transfer of coverage throughout job changes, with revised insurance plans available from all companies throughout the country, which compete within that market for an individual’s health care coverage.
• Short summary – http://www.house.gov/ryan/PCA/PCAsummary2p.pdf
• A longer summary or more information is available at Ryan’s site http://www.house.gov/ryan/PCA/index.htm
• Karl Rove wrote an article for the Wall St. Journal (June 11, 09) on “How to stop socialized health care.” http://online.wsj.com/article/SB124467554761003983.html
• Keith Hennessey (former Senior White House economic adviser) also provides an opinion: another citizen’s view of America’s future, if government takes over health care. http://keithhennessey.com/2009/06/11/the-belt-and-suspenders-of-the-kennedy-dodd-health-care-bill/
• Commentary by Shawn Tully from CNN Money http://money.cnn.com/2009/07/24/news/economy/health_care_reform_obama.fortune/index.htm

• The astonishing thing is that there has been and will be NO TESTING before a national roll-out of this new plan. Keep in mind, all of this projected debt is in addition to TARP, Stimulus spending, the potentially devastating Cap and Trade program, Social Security going bust and multiple hikes in state taxes and fees.
• Also, none of these changes will occur in a vacuum. As the government-run health care program commences, multi-billion dollar insurance corporations will go bankrupt, thousands of private insurance jobs will be lost, billions will be lost in investor funds and 401K plans. All of this will result in unintended consequences of further government pursuit of yet another private industry, just as was done in the auto and banking industry.
• Americans cannot look at this as just changes to health care standards and controls. One needs only to look at Medicare, Medicaid, Social Security, etc. to gauge how government will actually administer the new American health care. Consider the frustration we have in dealing with the IRS. Plan on the same for government-run health care – except it could now mean the difference between life and death. As taxes, fees, surcharges, etc. continue to skyrocket or as new ones are added, this becomes far more than health care issues; it will impact every part of your life.
• A major loss will be the important, honored patient/doctor confidentiality which will be breached when government takes possession of private patient health records.
• When the simple option of covering uninsured patients is ignored, we will be witnessing the total elimination of America’s quality, innovative and private medical care for all. Before Congress votes to possibly change what many consider the finest medical care in the world, Americans must insist their legislators read, discuss and fully compare the plans being considered. Then, listen to their constituents!

• Restore, to the maximum extent possible, a free-market in health insurance to ensure no company or government intrudes between patients and doctors.
• Allow the purchase of any approved insurance policy – nationwide.
• Allow digitized medical records, if true cost savings are available (but with no access to these records by government control boards.)
• Coordinate city-wide hospital facilities, rather than continuing with duplication of effort and costs.
• Promote low-cost group insurance rates.
• MAINTAIN PATIENT/DOCTOR RELATIONSHIPS