Pages

Wednesday, December 3, 2014

Health Care Reform Articles - December 3, 2014

Is Obamacare Destroying the Democratic Party?


Charles Schumer, the third-ranking Democrat in the Senate, has forced a debate over fundamental party priorities out into the open. Should Democrats focus primarily on the problems of the poor or should they first address the economic struggles of the working and middle classes?
It’s not often that a politician provokes conflict within the ranks of his party’s core supporters. Schumer did just that in a National Press Club speech on Nov. 25, three weeks after devastating Democratic losses in Senate, House, gubernatorial and state legislative elections.
According to Schumer, President Obama and his party suffered defeat last month in large part because of the strategic decision to press for enactment of the Affordable Care Act soon after Obama won the presidency. In 2009, with Democrats in full control of Congress and the White House, Schumer said,
Democrats blew the opportunity the American people gave them. We took their mandate and put all of our focus on the wrong problem – health care reform. The plight of uninsured Americans and the hardships caused by unfair insurance company practices certainly needed to be addressed. But it wasn’t the change we were hired to make; Americans were crying out for an end to the recession, for better wages and more jobs; not for changes in their health care. This makes sense considering that 85 percent of all Americans got their health care from either the government – Medicare or Medicaid – or their employer. And if health care costs were going up, it didn’t really affect them.
Schumer analyzed Obamacare in terms of pure political calculation:
Only a third of the uninsured are even registered to vote. In 2010 only about 40 percent of those registered voted. So even if the uninsured kept with the rate, which they likely did not, we would still only be talking about only 5 percent of the electorate. To aim a huge change in mandate at such a small percentage of the electorate made no political sense. So when Democrats focused on health care, the average middle-class person thought, the Democrats are not paying enough attention to “me.”
There were also adverse political and policy consequences to the emphasis on enactment of Obamacare:
Had we started more broadly, the middle class would have been more receptive to the idea that President Obama wanted to help them. The initial faith they placed in him would have been rewarded. They would have held a more pro-government view and would have given him the permission structure to build a more pro-government coalition. Then Democrats would have been in a better position to tackle our nation’s health care crisis.
Schumer’s remarks set off an explosion.
Nancy Pelosi, the Democratic House leader, responded in a written statement: “We come here to do a job, not keep a job.”
Former Obama administration staffers took to their Twitter accounts to voice their outrage.


A trip to the ‘wrong’ hospital shouldn’t bankrupt you

Sometimes, the best way to identify a problem is to see it through someone else’s eyes. Take, for example, the British media coverage of the plight of a U.S. woman who was taken to the “wrong” hospital when she suffered a heart attack. The Wisconsin woman now faces bankruptcy because of her medical bills.
How is this possible, the incredulous reporter for The Telegraph wonders?
Megan Rothbauer suffered a serious heart attack at work last September. The then-29-year-old was unconscious when an ambulance arrived. It took her to the closest hospital.
But that hospital was not in the network covered by Rothbauer’s insurer.
The result? Rothbauer was left with $52,531.92 in bills for her care, which included 10 days in a medically induced coma, The Telegraph’s David Milward reported. If the ambulance had gone three blocks farther to a hospital in Rothbauer’s insurer’s network, the bill would have been capped at $1,500.
This situation “highlighted the complexity of the American health insurance system,” Milward wrote. In America, you have to stay in your insurance network, even when facing an emergency and, in Rothbauer’s case, unable to speak and tell an ambulance what hospital to go to.
The hospital where Rothbauer was treated, St. Mary’s, was actually very accommodating. Its total bill for her care was $254,000. Her insurance company, Blue Cross-Blue Shield, agreed to pay $156,000, the rate it would pay to an in-network hospital. St. Mary’s then wrote off 90 percent of the remaining hospital charges. Rothbauer still has to pay bills from doctors, therapists and the ambulance — which were outside the Blue Cross network. These charges totaled more than $50,000.
An unnamed spokesperson for the insurance company said the company wouldn’t pay more “since we have no contract with this hospital, we have very little influence over what the hospital is charging in this situation,” The Telegraph reported.
Likewise, Rothbauer had little influence over where she ended up for her medical care. Yet she now bears a heavy financial burden for her care simply because she was taken to a hospital that didn’t have a contract with Blue Cross-Blue Shield. Rothbauer, by the way, doesn’t really blame anyone for what happened. Instead, she is focused on finding ways to pay her bill, including delaying her wedding and considering bankruptcy.
For Meg Gaines, head of the Center for Patient Partnerships, a consumer advocacy group at the University of Wisconsin-Madison Law School, “This brings the health care problems to a pinnacle. The question is, will we tolerate this as a society?”
That is the question. Reform work, like the Affordable Care Act, has eliminated some of the most egregious health insurance discrimination, such as denying policies to people with pre-existing conditions. Steering patients to providers with better outcomes and negotiating lower prices are important steps in reducing America’s high health care expenses.
But cases like Rothbauer’s show that reliance on a system heavy on bureaucracy and inflexible policies leaves people with health insurance vulnerable to falling into unexpected gaps in coverage when an emergency strikes.

Obamacare’s Inertia Problem

BY 





Obamacare has had a rough month: it’s being challenged in a Supreme Court case; House Republicans are trying to undermine it with a lawsuit; and its poll numbers are terrible. But on the ground the Affordable Care Act—which is starting its second open-enrollment period—looks robust. Most people in the program say they’re happy with their plans, and new insurers are entering the market. Prices are pretty good, too: estimates suggest that premiums for the second-cheapest of the “silver” plans, which is the benchmark used to set subsidies, have risen by an average of just two to five per cent. Still, one fundamental challenge remains: if Obamacare is to succeed in holding down premiums over the long run, it needs consumers to shop around.
Obamacare has had a rough month: it’s being challenged in a Supreme Court case; House Republicans are trying to undermine it with a lawsuit; and its poll numbers are terrible. But on the ground the Affordable Care Act—which is starting its second open-enrollment period—looks robust. Most people in the program say they’re happy with their plans, and new insurers are entering the market. Prices are pretty good, too: estimates suggest that premiums for the second-cheapest of the “silver” plans, which is the benchmark used to set subsidies, have risen by an average of just two to five per cent. Still, one fundamental challenge remains: if Obamacare is to succeed in holding down premiums over the long run, it needs consumers to shop around.
People have no difficulty comparison-shopping and changing allegiance when it comes to, say, automobiles or consumer electronics. Companies in those markets face huge pressure to keep quality high and prices low. But there are also markets where consumers tend to stick with the same choice forever, even though switching could save them quite a bit of money. Energy bills are a classic example. We’ve long been told we can save money by leaving incumbent providers for newer upstarts, but the vast majority of us haven’t. Economists call it consumer inertia, and you can see it in many fields, including banking, credit cards, and health insurance. “History tells us that people are very sticky about health insurance,” Larry Levitt, a senior vice-president at the Kaiser Foundation, told me. “If you look at federal employees or at Medicare Part D, people generally don’t switch plans from year to year.”

Lincoln Hospital to Stop Delivering Babies

No comments:

Post a Comment