Wednesday, January 17, 2007
California Gov.Arnold Schwarzenegger has planned a $12 billion health care package that he says should be the model for the rest of the country. Forcing people to buy health insurance will not resolve the problem of the uninsured, make America healthier or reduce the amount of money we spend on health care. Such schemes will increase taxes, kill jobs and obliterate private health care markets. They are also the next rational step on the path to single-payer health care.
"Everyone in California must have health insurance," Schwarzenegger confirmed. This is already true for automobile insurance, yet up to 25% of the state's inhabitants leave home without it. In Massachusetts, only four in 10 of those suitable for the totally free Commonwealth Care have signed up. Premiums for the subsidized plans are set as high as 6% of the insured's income, prompting talk of not enforcing the individual permission.
Schemes based on individual mandates will need new and extreme regulation of the private insurance market. Under California's plan, insurers won't be capable to turn down anyone based on health status or age, a policy that causes premiums to skyrocket. In 1993, premiums jumped 500% when New Jersey passed a related regulation.
Americans are extremely conflicted when it comes to health care. We think the eminence of the system is poor, yet we praise our individual care. We support universal coverage, but not if it entails any limitations or costs more. Arnold and company better hope that these sentiments don't relate to California, because the move to universal coverage not only costs more, but will only come from mandates and will appear with plenty of restrictions.
posted by renaa
@ 1:52 PM
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