Mandating private plans increases costs
The New York Times
April 24, 2003
Proposals Attach a Price to Universal Health Care
By Milt Freudenheim
...a foundation (Commonwealth Fund) proposed spending $90 billion a year to cover almost every uninsured American.
http://www.nytimes.com/2003/04/24/national/24CARE.html
Washington Post
April 24, 2003
Gephardt Health Plan to Cover All
By Dan Balz
Rep. Richard A. Gephardt (Mo.), in a bid to set the Democratic agenda for the 2004 presidential campaign, proposed today an ambitious plan to provide access to health insurance to all Americans, at an initial cost of about $210 billion a year...
http://www.washingtonpost.com/wp-dyn/articles/A27256-2003Apr23.html
Tri-Valley Herald
April 24, 2003
High cost burdens insurance proposal
By Rebecca Vesely
A plan hatched by Blue Shield of California requiring health benefits for all residents would cost taxpayers and employers an additional $7.8 billion (for California), according to a new study.
Bruce Bodaken, chairman and CEO of Blue Shield of California, announced the findings...
http://www.trivalleyherald.com/Stories/0,1413,86~10669~1347104,00.html
Comment: These proposals have helped to revive discussion of solutions for the problem of the uninsured. These proposals build on the current system which is highly dependent on private health plans. These proposals significantly increase costs, as do all proposals that perpetuate the role of private health plans.
There is virtually universal agreement that cost containment must be a goal of reform. The only proposals that promise cost containment while providing universal coverage are those which eliminate the wasteful private plans, replacing them with a single, publicly-administered program under a global budget.
We can understand the political reasons for Richard Gephardt's proposal, the economic reasons for Bruce Bodaken's proposal, and the reasons for Commonwealth Fund's attempt to achieve consensus amongst all players with their diverse interests. But isn't it time to concentrate instead on a model that would provide truly affordable health care coverage for everyone?