Obviously at this point with the need to reconcile the various proposals we do not know what the final form will be for the Baucus proposal (America’s Healthy Future Act). But from the details contained in his announcement and outlined in this press release my preliminary reaction is positive. It looks to be a balanced approach which works to solve the current problems without creating a massive new program.
For those who missed the statement, the basic plan contains the following details (per the press release)
- Insurance coverage would be mandatory for everyone. I realize that for some it is controversial to have the government require you to get coverage, but as has been pointed out, those who do not have coverage rely on the idea that if an emergency arises they can get care anyway. It’s not fair for them to rely on this guarantee and just as it is proper to require basic auto insurance, I think it is fair to require basic health insurance.
- In order to help with this process, insurance companies would be prohibited from dropping coverage if you get sick and there would also e a ban on denying coverage due to a pre-existing condition. Some variations in rates would be allowed to take into account health status but the companies could not price people out of the market
- Insurance companies would not be allowed to place limits on annual or lifetime coverage, so you would not have to worry about suddenly having coverage end due to a major illness.
- Tax breaks would be offered to both small employers and individuals to assist in paying for coverage. Those who could still not afford coverage would also receive direct subsidies to assist in paying for coverage.
- Small businesses and self employed individuals could enter into cooperatives that would allow them to obtain the same package pricing that larger businesses can get.
There would also be reforms to Medicare to provide for wellness coverage and preventative care. Those below 133% of the poverty line would be able to join Medicaid regardless of age and there would be increased federal funding to the states to assist with payment for this expansion.
There would also be reforms to the way Medicare pays for treatment with the long term goal being improvements in the delivery system and reduction in waste.
As I said this is just a starting point but I think it is a good starting point. I’m sure there will be a lot of debate in the coming weeks and months but this just might be a plan that I could get behind (not that my view means much of course).
More details can be found either at the press release or the full text can be read online.