Leading Dems Miss the Boat on Health Care

[Orwellian_Ghost]

Leading Dems Miss the Boat on Health Care
By John P. Geyman, Tikkun. Posted January 22, 2008.

No amount of tax credits, health savings accounts or market solutions will fix this problem.



We already have a perfect storm as the U.S. health care "system" falls apart, and many public polls put access to affordable health care at the top of our domestic agenda.

Although we spend far more than any other country in the world on health care, we have little to show for it except high prices, decreasing access, variable quality, underuse of essential care by vulnerable populations, and a significant amount of unnecessary and inappropriate care for those who can pay for it. Our enormous private health insurance industry of 1,300 insurers competes to cover healthier and lower-risk enrollees with more limited policies each year, while denying coverage of sicker individuals or raising premiums to unaffordable levels. That shifts the burden of the more costly care of sicker people to the public sector, defeating the whole principle of insurance: to spread risk broadly. Meanwhile, as the private insurance industry no longer finds growth in the employer-sponsored and individual markets, it has been shifting its sights to privatized public programs, including Medicare and Medicaid. Here it has found generous subsidies and little oversight from friendly conservatives in government.

Now would be the ideal time for leading Democrats to advance a progressive agenda for health care, such as Teddy Roosevelt did as a Progressive, with his call for national health insurance in 1912. The Republicans have been weakened by scandals, cronyism and incompetence, and have no new or credible ideas for health care reform. They still offer up only warmed-over ideas such as tax credits, health savings accounts, and how the competitive market can fix our problems, while limiting government's responsibility for care of the poor -- blatant social Darwinism. As William Greider recently observed in the Nation, "Democrats have a splendid opening to be substantive and political and righteous for working folks,all at once."

But so far, with only one exception, the Democratic presidential candidates have been disappointing, if not derelict, in reforming the system. In their misguided efforts to avoid too much controversy and to build a "centrist consensus," they are completely missing the target even before starting. Although Democrats in Congress united behind reauthorization of an expanded State Children's Health Insurance Program (SCHIP), that effort has diverted them from the real challenge -- how to reform the system to make accessible and comprehensive health care affordable for all Americans. That would require taking on powerful stakeholders, especially the insurance and drug industries, in the medical-industrial complex, now one-sixth of our economy. All but one of the Democratic presidential contenders shy away from that battle, usually with the limp excuse that real reform is not politically feasible.

What Are the Leading Democrats Proposing?

In their rush to build consensus for universal coverage, all three leading Democratic presidential candidates avoid taking on the real culprit -- a failing private health insurance industry. There is abundant evidence of the industry's failures, such as premiums increasing by three and four times the rates of cost-of- living and median family income. Projections show that, at this rate, premiums alone will consume all of household incomes by 2025. Administrative overhead will become five to nine times higher than Original Medicare."Denial management" is a vigorous growth area within the industry, while proliferation of near worthless limited benefit policies under the guise of insurance (e.g. deductibles up to $5,000 or annual caps as low as $1,000), and successful avoidance of regulation by state and federal regulators for many years is standard. Even as employer-sponsored insurance declines, the insurance bureaucracy keeps expanding as it seeks to exclude higher risk enrollees and keep its "medical loss ratio" attractive to investors (the industry's often-stated goal is to keep at least 20 percent of premium revenue for overhead and profits).

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http://www.alternet.org/healthwellness/74039/

[Orwellian_Ghost]

1. THE NUMBER OF UNINSURED AMERICANS IS AT AN ALL-TIME HIGH

THE NUMBER OF UNINSURED AMERICANS IS AT AN ALL-TIME HIGH

Data released today by the Census Bureau show that the number of uninsured Americans stood at a record 46.6 million in 2005, with 15.9 percent of Americans lacking health coverage. “The number of uninsured Americans reached an all-time high in 2005,” said Robert Greenstein, executive director of the Center on Budget and Policy Priorities. “It is sobering that 5.4 million more people lacked health insurance in 2005 than in the recession year of 2001, primarily because of the erosion of employer-based insurance.”

Census data show that 46.6 million Americans were uninsured in 2005, an increase of 1.3 million from the number of uninsured in 2004 (45.3 million). The percentage who are uninsured rose from 15.6 percent in 2004 to 15.9 percent in 2005. The number of children who are uninsured rose from 7.9 million in 2004 to 8.3 million in 2005.

“The increase of 360,000 in the number of uninsured children is particularly troublesome,” Greenstein said. “Since 1998, the percentage of uninsured children has been dropping steadily, from a high of 15.4 percent to 10.8 percent in 2004. The new Census data show that the uninsured rate among children moved in the wrong direction in 2005, rising to 11.2 percent.”

Greenstein warned that matters could get worse. In fiscal year 2007, which begins October 1, children’s health insurance programs in 17 states face federal funding shortfalls totaling an estimated $800 million, equal to the cost of covering more than 500,000 low-income children. Congress has known about the shortfall since early February, when the Administration took note of it and proposed a measure to address it, but Congress has so far failed to act.

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http://www.cbpp.org/8-29-06health.htm

[old guy]

2. I say again;

As long as the insurance companies are involved, there will never, ever, ever be any meaningful progress in improving health care coverage in this country. Never, ever,ever.

[Orwellian_Ghost]

3. Who are the uninsured?

Who are the uninsured?



Nearly 47 million Americans, or 16 percent of the population, were without health insurance in 2005, the latest government data available (1).

The number of uninsured rose 1.3 million between 2004 and 2005 and has increased by almost 7 million people since 2000 (1).

The large majority of the uninsured (80 percent) are native or naturalized citizens (2).

The increase in the number of uninsured in 2005 was focused among working age adults. The percentage of working adults (18 to 64) who had no health coverage climbed from 18.5 percent in 2004 to 20.5 percent in 2005 -- an increase of over 800,000 uninsured workers (1). Nearly one (1) million full-time workers lost their health insurance in 2005.

Nearly 82 million people – about one-third of the population below the age of 65 spent a portion of either 2002 or 2003 without health coverage (3).

Over 8 in 10 uninsured people came from working families – almost 70 percent from families with one or more full-time workers and 11 percent from families with part-time workers (2).

The percentage of people (workers and dependents) with employment-based health insurance has dropped from 70 percent in 1987 to 59.5 percent in 2005. This is the lowest level of employment-based insurance coverage in more than a decade (4, 5).

In 2005, nearly 15 percent of employees had no employer-sponsored health coverage available to them, either through their own job or through a family member (6).

In 2005, 27.4 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 (1).

The number of uninsured children in 2005 was 8.3 million – or 11.2 percent of all children in the U.S. (1). The number of children who are uninsured increased by nearly 400,000 in 2005, breaking a trend of steady declines over the last five years.

Young adults (18-to-24 years old) remained the least likely of any age group to have health insurance in 2005 – 30.6 percent of this group did not have health insurance (1).

Based on a three year average (2003-2005), people of Hispanic origin were the least likely to have health insurance. An average of 32.6 percent of Hispanics were without health insurance during that period (1).

Nearly 40 percent of the uninsured population reside in households that earn $50,000 or more (1). A growing number of middle-income families cannot afford health insurance payments even when coverage is offered by their employers.

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http://www.nchc.org/facts/coverage.shtml