SIIA Update and Tenncare
Here is the latest on the Healthcare debate from SIIA on August 19,2009. Before reading their info, pay attention to the notation regarding Tennessee and Tenncare. For those of you that don’t know, we in Tennessee essentially were “given” the Bill proposed by Hillary Clinton 1993 healthcare reform plan. Tennessee ended up as a test ground for the 1990s version of proposed health reform, which has many similarities to the current proposal. At the end of the day, 25% of all Tennesseans were on the Tenncare plan, and it almost bankrupted the state. A legislature ready for change and a Democrat governor that I supported, punted Tenncare to the ash heap of history as it was needed. Study Tenncare if you want to know what will happen under the proposed new health reform plan.
‘Public Option’ Reportedly FadingWASHINGTON REPORT FOR AUG. 19 Media see softening administration position: Signs that a government-controlled health plan may not be part of national healthcare reform were reported early this week by many news media. The Wall Street Journal on Monday said, “The Obama Administration gave its strongest signal yet that it would be willing to compromise on plans to expand the government’s direct role in health-insurance coverage as it a fights growing crescendo of opposition to its effort to overhaul health care.” President Obama dials down his rhetoric: At a weekend town hall meeting in Colorado, President Obama said the public option plan, “Whether we have it or we don’t have it, is not the entirety of healthcare reform. This is just one sliver of it, one aspect of it.” Apparently the public option is more than ‘a sliver’ to the thousands of citizens who have demonstrated against government control of the U.S. healthcare system. Obama officials also downplay public option’s importance: The WSJ reported that HHS Secretary Kathleen Sebelius said Sunday that a new government-run health insurance program isn’t the “essential element” of reform. During the same period of national public affairs TV programming on Sunday, Robert Gibbs, the president’s press secretary, said Obama wants “choice and competition” in the insurance market. How the Tennessee experiment is working: News reports this week indicated that Tennessee’s health insurance program TennCare that was created to cover those who couldn’t afford insurance or had been denied coverage nearly broke the state and had to be pulled back. Healthcare reform opponents say that experience shows that the current proposal by House Democrats could bankrupt the federal government. Ask your representatives if they agree with these reform elements: As SIIA members continue to contact their representatives and senators during the summer recess, they would do well to ask them if they support certain elements of “America’s Affordable Health Choices Act,” the 1,018-page bill that has been reported out of committee in the House and will be further debated when Congress returns to session. Our hunch is that very few lawmakers know in detail what the bill contains. So their reactions to the following three elements may be very interesting. Will new enrollment in private plans be shut off? While a public option plan is still in this bill despite administration waffling, it also states that there will be a limitation on new enrollment in private plans after the bill becomes law. While the president often repeats that anyone who is satisfied with his or her present coverage may keep it, members of existing plans will apparently be prohibited from changing to another private plan. Membership in private plans would inevitably erode until they are actuarially unfeasible and all members are funneled to a public plan. Do your representative and senators agree with this? Self-insurance would be denied to small and mid-sized businesses: The bill mandates that an audit of self-insured plans will be made and that, “Such report shall include any recommendations the Commissioner deems appropriate to ensure that the law does not provide incentives for small and mid-sized employers to self-insure.” So we could forget about any ability of smaller employers to find a level playing field by pooling together in plans sponsored by their professional organizations or trade associations. Do your representative and senators agree with this? The Health Choices Commissioner will be all-powerful: As set out in the bill, the Health Choices Commissioner will be appointed by the president and will preside over the Health Benefits Advisory Commission, two-thirds of which will be appointed by the president. This resembles a Soviet-style “politburo” that serves as the rubber stamp validation of the ultimate leader’s will. Do your representative and senators agree with this? Join the health reform strategy session next month in Orlando: While debate still rages in Congress, new communications strategies to defend the employer-based health care system will be unveiled during SIIA’s Annual Educational Conference & Expo in Orlando on Sept. 21-24. Find out more and register today at www.siia.org.