PPACA After One Year – Employers Retreat on Health Care

As we approach the one year anniversary of health care reform, The Society for Human Resource Management (SHRM) reports that 20% of employers have reduced employee benefits and 32% report that they are likely to reduce benefits.   The Patient Protection and Affordable Care Act (PPACA), that cumbersome piece of legislation signed into law by President Obama on March 23rd of last year and designed to “strengthen the employer based system”, has its challenges.

Of the 20% of employers who have reduced benefits

  • 91% have reduced health care coverage for employees and
  • 89% have scaled back coverage for spouses and children

Of the 32% likely to reduce benefits

  • 85% plan to reduce health care coverage for employees and
  • 84% plan to reduce coverage for spouses and children.

President Obama promised “more security and more stability” for “Americans who have health insurance.”

I don’t think so.

Happy Anniversary PPACA

Obama Endorses Earlier State Flexibility

President Barack Obama announced support for the Weyden Brown proposal to give state more flexibility in how they implement the Affordable Care Act.

Current law limits the ability of states to develop their own solutions to health care coverage until 2017.  Obama’s move is seen as an effort to counter initiatives in several states that are resisting aspects of health care reform.  Some states oppose the individual mandate, and some state resist the added burden of expanding the Medicaid roles.  But some states, most notably Vermont are moving in the exact opposite direction with popular movements in support of a statewide single payer system.

During last years long drawn out debate leading up to health care reform, the Obama administration resisted bi-partisan efforts to give states more flexibility to develop their own solutions.  Does he now realize the error of that stance?

Jonathan Cohn

wrote for Kaiser Health News and The New Republic

The actual change Obama proposed is, to be sure, modest. Under the Affordable Care Act, states are responsible for creating exchanges (the marketplaces where individuals and small-businesses can buy coverage) as well as implementing other key aspects of reform. That work must be done by 2014. The law allows states to opt out of the scheme, by getting a special waiver from the federal government, as long as they have alternative means for achieving the measure’s mandated goals. But states can’t do that until 2017….

And yet, as the conservative critics note correctly, the flexibility would have limits. The administration made clear that states could opt out of the health law’s requirements only if they could show they would insure at least as many people, providing coverage that was at least as comprehensive and at no greater expenses to the taxpayers…

But couldn’t conservative alternatives achieve the same goals for less money? Not really. Most of the ideas that conservatives like to promote would, at best, expand insurance coverage very modestly — and, in many cases, only by making coverage less comprehensive…

None of which is to say there aren’t better, more efficient ways to achieve universal coverage. Vermont lawmakers want to create a single-payer plan — that is, a government-run insurance program, similar to Medicare. They would probably among the first to apply for a waiver if Wyden-Brown became law. And they’d probably get it, because most estimates suggest a single-payer could satisfy Obama’s criteria: Covering as many people, with the same or better financial protection, for similar or even lower costs. But, of course, that’s not the sort of health care alternative conservatives have in mind.

Margaret Flowers

adds for Physicians for a National Health Plan

States such as Vermont and California, which appear to be closer than any others to enacting a state single-payer health system, welcomed the president’s support for the Wyden-Brown amendment because it would remove one of the many barriers they face. The amendment will still need to be passed by Congress before it arrives at the president’s desk, which may in itself be a formidable feat in the current political climate.

In addition, for states that want to take the path of single payer, even with the amendment, there will still be many hurdles before they can implement such a plan. The amendment only moves up the date when waivers can be applied for. It does not guarantee federal approval of the many waivers a state single-payer system would need, such as being allowed to roll their Medicaid and Medicare populations into their single-payer system….

Of concern is that the president is signaling a greater willingness to allow states to opt out of the health reform bill not because states want to provide better coverage but because governors in some states are opposed to the federal health law altogether. …

While some welcome the president’s support for the amendment and hope that if it passes a state will be able to demonstrate the benefits of a single-payer system, as happened in Saskatchewan (and which led to Canada’s national Medicare system), it is possible that the actual outcome of such an amendment will be a further attack on our necessary public health programs. For this reason, it is imperative that we continue to push for a national health program, improved Medicare for all in the U.S.

Photo Credit:     FLICkR Jobs With Justice

Thank God for the NHS | The Spectator

by Ross Clark

American healthcare makes our system look good, writes Ross Clark. But however revolutionary Barack Obama’s health reforms are, Americans will still pay through the nose

Had I a more devotional attachment to free-market economics I suppose I would be joining all those Republicans condemning Barack Obama’s health reforms. I have written enough about the failings of the NHS over the years to fill an entire symposium at a Washington think-tank.

Thank God for the NHS | The Spectator

Health Care Reform and Employer Sponsored Health Insurance

Wednesday, September 9th, President Barack Obama stood before the American people and a joint session of Congress and said:

If you are among the hundreds of millions of Americans who already have health insurance through your job, … nothing in this plan will require you or your employer to change the coverage or the doctor you have.  (Applause.)  Let me repeat this:  Nothing in our plan requires you to change what you have.

Someone will need to explain to me why this is a good thing.

The door may blocked

As the President was speaking these words, the 70 workers at SK Hand Tool Corp in Chicago, IL were without health insurance because their employer had made that decision for them.  It had unilaterally stopped paying for health insurance for its employees.

An inviting portal

An inviting portal

As the President was reassuring Americans that they could keep their health insurance, the employees of SK Hand Tools, represented by Teamsters Local 743, were starting the third week of a strike to keep their health insurance.

That strike would eventually last for ten weeks.

There is an overwhelming body of health policy research that supports the necessity of continuity of care to improve population health outcomes.  Yet for most Americans, employment is not a continuous engagement.

Why do we build a system that relies on continuity on another system that flourishes on discontinuity?

Continue reading

Mass Makes Mess for Dems and Health Care Reform

Dear President Obama

You seem to think that the reason the Dems did not do well in Massachusetts has to do with jobs. Maybe, but not quite.

image006 snake and bird
It’s about how you don’t get it.  And the people in Massachusetts see that in the way you have handled health care.

Now look at the mess you created.  Your health insurance program is at risk.  The Supreme Court just handed your opponents a blank check and the likelihood of changing that court now is very much in question.

Massachusetts was a bad model for reform

ERISA ties the hands and the feet of state governments that want to solve their uninsurance problem.  The Commonwealth of Massachusetts came up with one of very few ideas left over to them.  If it works at all in Massachusetts, and people will argue that, it is because Massachusetts is a relatively high-income state with relatively few people uninsured.

To try and apply that model to states like Louisiana, Texas, or Nebraska is misguided at best.  To be blackmailed by the likes of Sen. Ben Nelson (D-NE) is insulting.  To ask the people of Massachusetts to pay for it?  Oops. Continue reading