Public Insurance Option Choices Being Developed
One of the most discussed portions of the Obama health care reform plan is the public option. While the health care reform act is still being considered and changed, there are currently 5 public options which are front-runners. There are currently 5 different public option choices being considered by the House and Senate.
The House
Medicare Part E under this plan will cover nearly 97% of all Americans. The House is currently considering three primary plan options. The Medicare +5% option is the least expensive option to the government but is considered the most ambitious mover currently. This choice would limit physician Medicare rates and hospital base Medicare rates. The Medicare Negotiated Rate option is similar to the Medicare+5% option, but would allow rates to be negotiable. The Medicare Trigger plan would only apply if private insurers weren’t meeting pre-determined metrics. This plan is the least favourite among House members. The House intends to fund the plan by increasing taxes assessed for taxpayers earning in excess of $500,000 annually.
The Senate
The estimated cost of the Senate bill is currently near $825 billion. It would ultimately cover 94% of Americans, less than the bills proposed by the House. The primary method of funding for this plan is to increase taxes assessed on family health care benefits over $21,000.
The State Opt-Out plan would establish a non-profit board to review health care options, considered a form of co-op model between the government and private insurers. The Trigger plan is less favourable, with intentions to kick in federal funding in the event that conditions determined by the government are not met. The primary reason that the Trigger plan is not popular is that historically these plans are not proven effective.
The extensive health care reform plans currently circulating for discussion among the House and Senate have a variety of nuances, each designed to increase the number of Americans insured. Discussions surrounding each of the plan options are varied. Some high level views suggest that the plans in the House are more robust, providing enhanced coverage and covering more Americans than the Senate’s proposed plans.
Be sure to follow the debates, proposed changes and voting surrounding the health care reform being discussed among members of both the House and Senate today.
