I know I haven't posted any political articles in a while, mostly due to the fact that I feel pretty satisfied with our president, but also b/c I thought I'd try to steer this blog to more general posts. Which would have worked had I posted more often after the election.
I've noticed that there are a lot of ads on TV suggesting that Obama's universal health plan is going to be the ultimate cause the end of the world. They're sponsored by "Conservatives Who Care" type of groups. As if opposition is coming from a grassroots level. Please. I can guarantee that most of these ads are funded by the insurance companies who are now worried that they won't make the same recording breaking profits they've enjoyed for the last several years. In 2008 many of the top insurance companies reported a slight decrease in profits from 2007, but considering that most of them saw an increase from 2006, which was even better, I don't think they're counting their pennies.
One of their main arguments is that employers will stop offering private health care and rely on their employees to take on the government health insurance. Which they also argue, won't be as good as private insurance. That's probably true, current government run plans like medicare and medicaid aren't as good as most private health insurance. Where they're wrong is the assumption that employers will stop offering private insurance. What will happen is that employers will advertise the fact that they offer private health insurance as part of their benefit package, just as they do now.
Some employers will probably stop offering private health insurance, but it won't be much different than it is now. Currently many companies are cutting back or eliminating private health insurance for their employees because it is just too expensive. As a result, many people with jobs are finding themselves uninsured.
The percentage of people (workers and dependents) with employment-based health insurance has dropped from 70 percent in 1987 to 62 percent in 2007. This is the lowest level of employment-based insurance coverage in more than a decade.
In 2007, 37 million workers were uninsured because not all businesses offer health benefits, not all workers qualify for coverage and many employees cannot afford their share of the health insurance premium even when coverage is at their fingertips.
The ads are ignoring the fact that
18% of Americans, nearly 46 million of us, don't have health insurance. 80% of the uninsured are native or naturalized citizens. Contrary to what conservatives will tell you, illegal immigrants are not going to be the ones benefiting most from a government health plan.
The fact is that the more people who are insured, the healthier our population will be. Access to preventative medicine could help reduce the
costlier medical treatments many people currently need. Many uninsured people put off going to the doctor because they can't afford it. Their medical problem gets worse until they can no longer wait. By the time they see a doctor their problem is more serious, more expensive, and often times the cost is too high for the patient to pay. Next step, bankruptcy and the bill is left unpaid and has to be eaten by the health care industry. To subset the unpaid bill, health care costs rise. Those of us with health insurance have to pay the higher premiums due to more expensive health care.
Consider these possible outcomes. Yes they are hypothetical, but humor me here.
Guy has diabetes. He does not have health insurance. He tried to manage his diabetes on his own, but ends up losing circulation in one of his legs. It has to be removed. He goes to the hospital, has it removed, but can't afford to pay the bill as he has no health insurance. Guy has to declare bankruptcy to get out from under his mounting bills. Guy has to go on disability because he no longer has a leg. Tax payers take care of Guy.
Lady feels tired and weak. She's had heart palpitations but ignores them because she cant afford to go to the doctor. Had she gone to the doctor, she would have learned that she had high blood pressure, and could have treated it will medication. Instead she waits until she has a heart attack. She's rushed to the ER, but oops, too late, she dies.
Again, I know these are hypothetical, but these are fairly common diseases that are treatable. Left untreated, very expensive. Had Guy and Lady been insured, even with "crappy government insurance", their medical costs would have been much less. And because their medical costs were paid for, those of us who are also insured wouldn't have had to pick up the tab.
The health insurance companies will be just fine. With a government health plan covering the uninsured, heath care costs will go down. With lower health care costs, health insurance companies won't have to pay as much to the health care providers. They'll still rake in the profits just as well as before.