Wednesday, July 11, 2012

Affordable Health Care Act: The Pro Side

It's time to Break It Down!

A number of polls on a variety of subjects suggest that Americans’ opinion is roughly equally divided, regarding the direction of our Country, and the competing Democratic and Republican philosophies that serve to chart directionality.  Recent polling data shows, with less than four months to go until the General Election of 2012, the preference for either President Obama or Mitt Romney to lead the Country for the next for years is split 47% for the President, & 47% for Mr. Romney.  In a complementary data set, polling shows that 92% of voters have already decided for whom they will vote, or know for whom they are most likely to vote.  In other words, this election is shaping up as a virtual toss-up.

While it is clear the two campaigns are waging robust ad campaigns, including numerous highly charged negative ads, in the final analysis, the eventual decisive factor in the coming Presidential Election mostly likely will revolve around the respective voter turnout efforts.  To that end, buckle up and get ready for the relentless stream of ads.  Meanwhile, if you really care about the outcome, be sure that you do these four things:

  1. Register to vote
  2. Vote on election day, or during the Early Voting period
  3. Remember to be sure to obtain (and prominently display) your picture voter ID
  4. Make every effort to ensure that others do the same
Health Care Reform, like the Country’s political direction is another item about which opinions are fervent, varied, and roughly equally split.  On Monday of this week, Kathleen Sebelius, Secretary of Health & Human Services, weighed in on the matter in a Washington Post editorial with a view that I will summarize here, because I consider it both balanced and instructive.

Secretary Sebelius lifts up several of the usual assertions about negative aspects of the health care law that the U.S. Supreme Court validated with its June 28, 2012 ruling.  Here are those points and her counterpoints:

In the decade preceding the law, national health care expenditures increased on averaged about 7% per year.  While the rate continues to increase, in the past two years, the rate of increase has been less than 4% per year.  Americans have saved more than $220 billion and that trend is expected to continue thru 2013. 

  • The law will is causing insurance premiums to increase
Between the years 2000-2009, premiums more than doubled, rising from $6,438 to $13,375; an annual increase of 8.1%.  From 2009-2011, premiums did rise, but at a rate 25% lower.  This decrease equates to $1,200 per family.  At least two independent groups, Mercer, a Human Resources Consultant, and the nonprofit National Business Group on Health, say this trend will continue. 

The AHCA will provide even more relief in future years, including a tax cut averaging $4000 for 18 million middle class Americans.  A tax break, by the way, that would be eliminated, should the law be repealed. 

  • The law will place a greater burden on small businesses
In fact, the opposite is true.  Small businesses were struggling in the insurance market before the law passed, spending an average of 18% more than their large counterparts, annually.  Frequently, small businesses saw insurance bills skyrocket if even one person got sick.  Because of this, the number of small businesses offering coverage to employees was falling rapidly.  The number dropped from nearly 70% in the year 2000, to less than 60% in 2009, leaving millions without coverage. 

Since the law passed, the share of small business offering coverage has held steady at 59%.  According to the Kaiser Family Foundation, hundreds of thousands of small businesses have in part, because of new tax credits in the law, saved thousands of dollars on their insurance costs.  Moreover, independent experts like the Rand Corporation predict the number of employers offering coverage will rise in 2014 – just as it did in Massachusetts after health care reform passed – when small business owners will have the choice of shopping for health coverage in new more competitive marketplaces. 

In truth Medicare is stronger than ever.  Seniors have new benefits such as free preventive care, as well as discounts on brand-name medications in the “doughnut hole” coverage gap.  Already, more than five million seniors with Medicare have saved about $600 each.  Medicare Advantage premiums have fallen two years in a row. 

As a result of new crackdowns on fraud and abuse, a record $5.4 billion have been returned to Medicare in 2010 and 2011.  The AHCA has strengthened Medicare’s long-term outlook, and has added eight additional years to the projected solvency of the Medicare Trust Fund. 

The Secretary observed that those calling for the repeal of the law have neglected to provide their own credible alternatives for lowering health care costs.  Moreover, interestingly enough, the same House Republicans who will vote today to repeal the Medicare savings, just voted in March to keep them in their budget. 

In framing her conclusion, Secretary Sebelius wrote, it is certainly acceptable to adhere to ones own opinion, but you are not permitted to construct you own facts.  In this case, the facts are clear: Since the AHCA was passed, national health spending is rising at a lower rate, health insurance premiums are increasing more slowly, small business coverage is holding steady, and Medicare is on stronger footing. 

The Democrats have constructed and approved a bill to reform health care, the President has signed the bill into law, and the Supreme Court has reviewed the merits of the AHCA, and ruled that the law stands.  The outlier in this scenario is the GOP.  Republicans, of course, are unalterably locked in on their long-standing commitment to make sure President Obama is a one-term President.  In the process of making this dream come true, they are duty-bound to oppose, and if possible deny the adoption and or implementation of anything that could be perceived as a victory for President Obama, regardless of whether it is in actually, a victory for the American people. 

In conclusion, I believe this aptly summarizes “Affordable HealthCare Act: The Pro Side!”  I’m done; holla back! 

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