Surprise: AHIP Now Opposing Health Care Reform
You know we’re stuck in a health care reform rut when progressives actually rush to the defense of the POS Baucus bill. Yet that’s what we’ve come to, apparently.
America’s Health Insurance Plans (AHIP), the chief lobbyist on behalf of the private health insurance industry released a report over the weekend that essentially attempts to take the already-shitty Baucus bill, rip it up into little pieces, and flush it down the proverbial toilet. The report makes the hysterical claim that the typical family’s premium would increase by $4,000 by 2019. Why? – because the federal mandate that requires all Americans to purchase health insurance coverage isn’t strong enough and doesn’t impose strict enough penalties; because of cuts in Medicare payments that AHIP argues will be shouldered by private insurers and passed on to policyholders; because taxes on high-end “Cadillac” plans will be passed down in the form of higher premiums. The apocalyptic scenario presented by AHIP is self-serving and plain asinine, not to mention demonstrably false.
But is there anything shocking about that? I’d argue that this was AHIP’s plan all along – to support the general, vague idea of health care reform, water down and shrink the plan as much as possible, and then, in the well-known (and tasteful) words of Grover Norquist, “drown it in a bathtub.” Because, when it boils right down to the meat of health care reform, health insurers are going to be limited in their methods of pursuing profit. Any health care reform – even health care reform that magically grants them millions of new customers bound by a federal mandate – is worse than the status quo. And so we should have seen this AHIP reversal coming.
So what now? I happen to agree with Rep. Anthony Weiner’s assessment that this shameless AHIP report that promises years of rising premiums for American families only reinforces the need for a public option. While progressives are rushing right now to defend the watered-down Baucus bill, they really should be putting their weight behind the fight for the inclusion of a government-run competitor that can keep these thugs in line. Anything else is just a waste of time and effort, because we’re not dealing with people here – we’re dealing with money-hungry leeches that want to suck everything they can out of the American people.
The blogger, Kristofer Paul, can be reached at bottomleftpolitics@yahoo.com.
Obama Needs To Walk the Talk on Regulatory Reform
As we’ve come to expect from our President, Obama’s speech yesterday on Wall Street contained a lot of good words, welcome words to our ears. He spoke of tighter regulation, stricter rules of the road, and an end to the old way of doing business. These are all nice words. After going through several years – stretching from Bush back through Clinton, Bush the Elder, and all the way to Reagan and Carter – of irresponsible reliance upon the “free market” and a deregulation of our banking system, these are refreshing words indeed. I especially liked this part:
We will not go back to the days of reckless behavior and unchecked excess at the heart of this crisis, where too many were motivated only by the appetite for quick kills and bloated bonuses. Those on Wall Street cannot resume taking risks without regard for consequences, and expect that next time, American taxpayers will be there to break their fall.
President Obama is on the right track, no doubt. More regulation is always a good thing when it comes to predatory capitalism, and the administration is proposing just that, along with suggesting that loopholes be closed and a new Consumer Financial Protection Agency be created. This is a change for the better, but the bar is set pretty low after decades of bowing at the altar of unregulated capitalism. And, quite frankly, what Obama is proposing is not nearly enough. Not only is it not enough, but it doesn’t even get to the root of the problem, which is the existence of “too-big-to-fail” banks and the reality that they’ve gotten even more bloated since this system really went to hell in 2007.
According to Nobel Prize-winning economist Joseph Stiglitz, big names like Bank of America have grown in size after being injected with taxpayer money, and this, according to economic experts, is the very root of the economic problem. Before we can take on the larger problem and prevent another crisis like this from happening in the future (because, let’s face it, another one is bound to happen if something drastic isn’t done), we need to shrink and simplify the banking monsters dominating our system. Nothing in any of the administration proposals will do anything to force these giants to shrink. Taking on the banking system in a real, effective way is not something that anybody seems to want to tackle, including President Obama, in spite of advice from well-meaning experts like Stiglitz and even former Fed Chairman Paul Volcker. Don’t get me wrong; oversight is good. Obama’s regulatory reform proposals call for oversight of some big banks. This is better than nothing. But it will not prevent a future crisis. These are regulatory reforms that can easily be dismantled by future administrations, plunging us into yet another deep crisis. As for anything permanent…don’t expect it from the Obama plan.
We don’t need a round of regulatory reforms that won’t last or protect the American people from being subject to future economic hardship. We need fundamental change in the banking sector. Most importantly, we need to stop bailing these sons of bitches out. Let them fail. Let them go bankrupt. Then, the government (in the form of the FDIC) can do its job and seize them, replace their management, and reorganize and simplify their structures. The government needs to implement real regulatory reform that includes strong antitrust rules, creating an environment in which the banks – after having been broken up and decentralized – can be sold back to the private sector. Only this path will establish a banking system that will work for us, the common folk. Until the Obama Administration pursues this course of action or something very similar, we’re setting ourselves up for more of the same.
For more information on this topic (since, after all, I’m not an expert on economics, nor do I claim to be), A New Way Forward is a great resource and a superb example of grassroots activism in practice. We can bitch and moan about how much Obama sucks all we want, but the only way we can expect true reform of the system is from the bottom up.
The blogger, Kristofer Paul, can be reached at bottomleftpolitics@yahoo.com.
“Obamacare” – The Largest Upward Transfer of Wealth Since Reagan?
Well, it finally happened. We knew it was coming, though, didn’t we? Didn’t we see this on the horizon? President Obama’s (now) well-established record of mediocrity continues, this time in the form of a stance just short of an outright rejection of the health insurance public option.
In recent weeks, the White House has been in the middle of the proverbial health care reform teeter-totter, with 46 million uninsured Americans on one side and big health insurance (along with its whores in Congress) on the other. But now a step has been made in the direction of corporate interests and the continuation of the worst private health care system in the industrialized world. The balance in Washington has shifted. The public option, which used to be an essential element but is now apparently unnecessary and merely desirable (if that), appears to be – in the words of a certain GOP Congressman who appeared on CNN on Sunday (can’t remember his name, but what does it matter? One fanged, bloodsucking vampire is no different from another) – a “dead duck.” Actually, a rotting duck, as it’s been dead for quite a while now (we’ve just been in denial). Can’t you smell it? No, it’s not a wild Republican wet dream. It’s for real. Take a whiff. The evidence is in the air.
HHS Secretary Kathleen Sebelius all but confirmed our worst suspicions when she made the following statement on CNN’s State of the Union:
I think there will be a competitor to private insurers. That’s really the essential part, is you don’t turn over the whole new marketplace to private insurance companies and trust them to do the right thing.
And if you don’t believe her, the top White House spokesman (and jester), Robert Gibbs, repeated a similar line:
What I am saying is the bottom line for this for the president is, what we have to have is choice and competition in the insurance market.
And, to top it off (in case you’re still in denial), President Obama himself had this to say at a town hall on Saturday:
All I’m saying is, though, that the public option, whether we have it or we don’t have it, is not the entirety of health care reform. This is just one sliver of it, one aspect of it.
Isn’t that peachy? The man who campaigned on the promise of offering Americans the same health care to which he had access, the man who at one point advocated for single-payer and then became a champion of the public option, now claims that the public option is “just one sliver” of health care reform. Just a sliver. Covering the 46 million Americans who don’t have health insurance – just a sliver. Just an insignificant part of health care reform. There’s more! Like…like…well, competition! Choice! Even if you can’t afford it, goddamnit, you have choice! Choice We Can Believe In!
And the predictable wheels of health care reform turn, crushing all the hopes and dreams of those who had hoped that this history-making President could use his popularity to achieve true universal health care. What are we going to get instead? – after all, the public option is “just one sliver.” Glad you asked. Instead of having nasty old Uncle Sam sticking his fat fingers where they don’t belong (in the deep, overflowing pockets of health insurance executives like Edward Hanway of CIGNA, who made over $120 million as of April 30, 2008), we might be blessed with the spawning of non-profit health insurance cooperatives. At least, that’s the way it’s looking now. Supposedly, these cooperatives will drive down costs and allow many more Americans to buy health insurance. On their face, they don’t sound all that bad (at least, not as bad as what we have now).
One problem. Health insurance cooperatives are designed from the beginning to fail to compete effectively with the larger, for-profit health insurance companies. They simply aren’t large enough to make much of a difference, and they have little chance of becoming larger so that they can use their influence to drive down costs. In the end, the health insurance companies that we’ve become so accustomed to – like a cheesy monster from a bad series of horror flicks – will be back, and stronger than ever. Why? Because any bill that makes it to President Obama’s desk will almost undoubtedly contain a federal mandate that will require all Americans to purchase private health insurance.
The result? Possibly the largest upward transfer of wealth from the masses to the wealthy elite since the Age of Reagan. Once we realize that the cooperatives were a pile of bullshit, it’ll be too late, because we’ll be legally chained to the mega-corporations that dominate the health insurance industry, rip us off, and deny us coverage. Why the hell do you think the health insurance companies (and even Harry and Louise, for Christ’s sake) are pushing health care reform? It’s rigged, just like our current system. This is a game. And we were never meant to win.
If the apparent abandonment of the public option isn’t a deal-breaker, I don’t know what is. Any bill that does not include a public option needs to be defeated, even if it means delaying health care reform. We can’t afford to screw this up.
The blogger, Kristofer Paul, can be reached at bottomleftpolitics@yahoo.com.
Doing Health Care Reform Right
A lot of us – myself certainly included – are disappointed that the House went home without making much progress on health care reform. We’ll be even more disappointed when the Senate goes home this week having made even less progress. We’re in such a rush for anything with the words “health care reform” attached to it that I’m starting to see where Republicans are coming from when they urge us to slow down.
No, I haven’t slipped over to the Dark Side. I have, however, considered reality. The reality is that we have not a broken system, but rather a rigged system that only works for the health insurance industry. It’s a system in which the government already plays a significant role – in subsidizing the failed private health insurance industry, with 60 cents of every health care dollar coming from public coffers. It’s a system which boasts the largest, costliest, most complex health care bureaucracy in the world, a bureaucracy that costs 31% of every health care dollar. Yet it’s a system that leaves millions uninsured and many more underinsured. The system must be fixed (or unrigged), and the solution is simple – a single-payer health care system that would save up to $400 billion and not cost Americans anything more than a very modest tax in place of a health insurance premium. A single-payer system would not only automatically cover every single American, but it would also relieve small businesses and, yes, even larger corporations of the need to purchase health insurance, thus stimulating our ailing economy (not to mention the extra money in the pockets of everyday Americans). Single-payer quite literally a no-brainer.
Yet, as you’re quick to remind me, single-payer is off the table. The Democrats say that it’s not politically feasible. The corporate health insurance lobby will hear none of it – and for good reason; I’d lobby against single-payer, too, if it would render me irrelevant and force me to go look for a more humane job (like, say, a debt collector…or a hitman). So we on the Left have embraced – albeit with a healthy dose of skepticism – a strong public option that would insure those unable to afford private plans and provide a model for what a single-payer system would look like (and thus hopefully providing momentum for a single-payer system like most of the rest of the industrialized nations of the world enjoy). Yet, thanks to the health insurance industry and its whores, the Republicans and the Blue Dog Democrats, even that is looking iffy at best. Every possible effort is being made at weakening or completely derailing the public option, with the House somewhat on-board and the Senate appearing to be ready to completely scrap it in favor of something even less threatening to the private health insurance thugs.
So, considering the recent turn of events that have seriously jeopardized health care reform and possibly turned it into something that is not really “health care reform,” why are we in such a hurry? Understandably, after the battle of the early 90s, many are worried that health care reform could be derailed completely by the health insurance industry in a “Harry and Louise”-esque way. But they forget (or ignore, for the sake of their sanity) that the health insurance industry wants “health care reform.” Harry and Louise are on the boat. Which is a reason, in and of itself, to be worried and to pause and look at what we’re really trying to pass. The health insurance industry would love for Congress to pass a weak health care reform bill that will add some uninsured to the rolls of the insured, modestly regulate the industry, and mandate Americans to purchase private health insurance, thus stabilizing – probably for a long time to come – the private health insurance industry. This is what they want; they’re willing to throw us a bone as long as we keep real reform (single-payer or a very strong, robust public option) off the table.
We need to think before we pass health care reform. As Senator Bernie Sanders (I-VT) said on Lou Dobbs Tonight in a debate with Orrin Hatch, when we do it is less important than doing it right. The reality is that only a single-payer system can replace our current one. A weak public option will continue to leave millions of Americans uninsured and will only add to our already-gargantuan health care costs (as it will just add one more insurer to the list of insurers that our expensive bureaucracy already has to deal with). It’s taken about a hundred years to reach the point at which the passage of a health care reform bill seems feasible; how long will it take us to reform “health care reform”?
The blogger, Kristofer Paul, can be reached at bottomleftpolitics@yahoo.com.
Blue Dogs Are the Real Threat to Health Care Reform
As much as we on the Left complain about the Republican Party being the Party of No, our biggest obstacle when it comes to true health care reform lies not in the GOP but in the caucus of pro-business Blue Dog Democrats. Word has just come in that a group of forty (out of fifty-two) Blue Dogs are not satisfied with the current health care bill, saying that it “lacks a number of elements essential to preserving what works and fixing what is broken.” In short, compromising is probably going to have to be done in order to win over these tired old fools who call themselves Democrats.
What, though, will compromise entail? Nancy Pelosi is still promising the inclusion of a public option in the House bill, but let’s be real here. If these forty Blue Dogs are bitching about the bill already, do we really expect them to sign onto a public option? Do we really expect them to flip their corporate friends off and do what’s right for the people, knowing full well that private companies will not be able to compete with a government-run health insurance option? REALLY? Some might in the face of public opinion that favors a government-run option, but one can’t help but get the feeling that most of the Blue Dogs are going to be hesitant at best, obstructionist at worst. They’ve made it clear that, if a public option is included, it should not be “Medicare-like.” Which begs the question…what would the public option BE like, then? Huh?
I’m getting nervous. Well, more nervous than I already was. Health care reform without a public option – which is exactly what most of these Blue Dog bastards want – will NOT be true health care reform. These sons of bitches don’t care about their constituents or the nation as a whole. They care about their own pockets, which are being lined by lobbyists straight from the bowels of Corporate America. If the Blue Dog Democrats dare to stand in the way of actual health care reform, the voters in their districts need to take notice and run real progressives against them come election time. The message to these corporate Democrats needs to be clear and firm: Get on the public option boat or face defeat in 2010.
Public Option or Bust
The more days that pass, the more cynical I become about health care reform.
We have a Democratic President, a Democratic Congress, and public opinion on our side – how could the conditions be any better? Is there some factor that could be improved somehow? It’s not like I’m expecting Republicans to hop onboard, because, well, they’re Republicans. But how about the Blue Dog Democrats? How about the representatives and senators who insist upon sharing a bed with corporate lobbyists? I’m so sick of this garbage, and so is the rest of America. Aren’t you? The public option is a no-brainer, the centerpiece of any kind of health care reform. Without the public option, we are stuck with the same old rotten system, run by monopolistic capitalism and ridden with high premiums and uninsured Americans. But that’s what these filthy Republicans and their Blue Dog Democrat friends want, because they don’t give a goddamn about the people they allegedly represent; they care about the money coming from the health insurance industry to keep them from doing the right thing.
And then there are the assholes – like Chris Dodd – who want to grant legitimacy to the Republicans by giving them an opportunity to suggest “alternatives.” Look…I get the whole “politics” thing. I really do. I know all about the importance of compromise and the magic of bargaining and give-and-take. This is not one of those situations. People are dying. People are going bankrupt. People are going untreated for serious conditions. People are being robbed by health insurance companies and forced to choose between medical treatment and food. The political climate has never been riper for true health care reform, yet the Democrats, of all people, are twiddling their thumbs, thinking that a nifty solution is going to come along. It’s not. It’s the public option or bust, and, right now, it’s looking like it’s going to be bust if the Democrats don’t get their act together.
But they’re Democrats. What can we expect? They support the same twisted, cancerous capitalism that Republicans support. Many of them are willing to rely upon the “free market,” not really giving a damn about whether or not the “free market” will actually fix the problem, because at least they have industry money coming out the ass (oh, and public health insurance). Many of them are more concerned about the effects of the public option upon health insurance monopolies than they are about the effects of NOT having a public option upon vast numbers of Americans.
And, with every day that passes, the window of opportunity closes a bit more. And once it’s shut, it’s shut.
Health Care Reform? HA!
My heart skipped a beat when I read that Senate Democrats had formed a proposal for comprehensive health care reform. Just for a second, though. Then I remembered…they’re Democrats.
And, indeed, the proposal is certainly nothing to write home about, sparking the cynicysm you see in the title of this blog entry. In reality, it’s a grand proposal – for the health insurance industry. Every American who can afford it would be required to purchase a private health insurance plan, facing an unspecified “penalty” if they refuse to do so. What kind of red-blooded health insurance executive wouldn’t go out for a beer over THAT? Jesus Christ. Other details, such as whether or not a government-run insurance option would be available, have been left out because Chris Dodd (remember him? I was hoping he’d go away, but it turns out that he’s the new Senate health care reform warrior now that Ted Kennedy is no longer able) doesn’t want to upset the Republicans. It’s also unclear whether or not an employer mandate will be included.
So…let me get this straight. The Senate Democrats are willing to appease the health insurance industry, Corporate America in general, and the Republican Party, while – at the same time – having no doubt that they’re going to require all Americans to buy private health insurance. Is this what health care reform looks like? I don’t think I want it anymore. Granted, details have not been ironed out, but the absence of a public option really concerns me. And for what? The happiness of the minority party that’s currently being run by a plumber and a talk radio host? We want to appease the REPUBLICANS? So they can offer alternatives, Dodd says. ALTERNATIVES? You mean…like deregulating our health insurance industry and turning it over to the laissez-faire gods? And then requiring everybody in America to buy a private plan with minimal subsidization? Just what beneficial alternatives, Mr. Dodd, do you think the GOP has in mind?
The Democratic Party really needs to step up to the plate, stop worrying about the opinion of the right-wing fringe of the Republican Party that is so out of step with mainstream America, and get into the business of doing what’s best for the American people. We need to run the private health insurance industry into the ground. But, as long as that’s off the table, we at least need a public option. Without a public health insurance plan to keep the private companies in check, “health care reform” will continue to be as mythological as elves, trolls, and unicorns.
On Health Care Reform…and Unicorns, Too
What a great way to begin the week, huh!? Just when everybody was all doom and gloom, BAM, “the industry” – you know, the insurers, the hospital execs, the Emperors and Darth Vaders of our capitalistic health care system – have signed on to health care reform! They’re on the boat! They’re onboard! Not to mix up my metaphors, but Obama shouted, “All aboard the reform train,” and the industry as a whole (represented by America’s Health Insurance Plans, or AHIP) jumped on the caboose! What a great day for America, what a day of celebration! Obama has called it “a watershed event,” and the progressives of America are jumping up and down, drinking, and being merry. Paul Krugman called the announcement of AHIP’s joining the Obama Administration and SEIU at the proverbial table “some of the best policy news” that has been divulged in quite some time.
And then a rinky-dink, no-life blogger has to come along and pour water over the whole goddamned parade. The blogger’s name? Me.
I really hate to spoil the fun and games and laughter and merriment – I really, truly do – but this is not a groundbreaking development in the health care reform quest. This is not a fork in the road or a turning point or any other stupid, cliched phrase you want to apply to the situation. In fact, this was as predictable, as sure-fire as an uninsured patient’s mammoth hospital bill for the crime of being sick. Here’s what happened, in case you didn’t catch it. For years, the health insurance industry has been taking huge cookies – one right after the other, sometimes two or three at a time – out of America’s cookie jar, at the expense of our sick and helpless. And this was okay, because movement conservatism had captured the collective heart and mind of America, and everybody (especially the lobbied politicians) looked the other way as the health insurance industry ran our system and our nation’s health into the ground in a fiery crash. Now that Barack Obama – a self-professed proponent of a government-run option – has been elected by a country that has grown increasingly tired of our sham of a private health care system, the health insurance companies realize that they have a choice: give the impression of change or die at the hands of a popular movement for substantive reform.
Does anybody actually believe that these sons of bitches from the health insurance industry, these sniveling pieces of human waste, actually want to achieve health care reform? Does anybody actually believe that they will sign on to REAL change? Barack Obama and some members of Congress have slapped the hands of the health insurance industry, said, “NO MORE COOKIES,” and threatened to put the lid on the cookie jar. “No, no,” the health insurance industry cries. “We can be good! How about we cut down on the number of cookies we take? But in a non-binding, voluntary, non-specific sort of way?” Then President Obama and his fellow progressives rub their chins, furrow their eyebrows, and say, “Deal.” What kind of bullshit is this?
And, yet, this is what happened yesterday. Progressives are throwing a party over something that has been going on since the dawn of capitalism – pretending to self-regulate in order to avoid real regulation. The health insurance industy has agreed (again, in a non-binding, voluntary sort of way) to reduce the growth in health care costs to 4.7%. Well, thank God! The costs are ONLY going to grow by 4.7%…eventually! Give me a break. Our ECONOMY has grown by an average of 3.2% per year. This is the reform that President Obama has in mind? A non-binding resolution on the part of the health insurance scum to reduce the growth of costs to 4.7%? What is this, an alternate universe? In the meantime, we still have the worst health care system (of the six wealthiest nations), we still rank 46th in life expectancy, we still rank 42nd in infant mortality. How is a reduction of the growth of health care costs to 4.7% going to fix this quandary? But that’s not the concern of the health insurance industry; its only concern is keeping a government-run option for health insurance off the table, because such an option would certainly run these thugs out of every city in America.
Does the Obama Administration realize this? Of course. Does the Obama Administration realize that a government-run plan has never been more politically feasible? If it does, I don’t know what it’s waiting for, and I don’t know what it’s looking for in the health insurance industry. Last I checked, the purpose of health care reform was not to preserve the obscene profits of the private health insurance industry, but rather to cover the millions of uninsured Americans and relieve the strangled budgets of so many American households and businesses.
Then again, what do I know? Health care reform…I’ll believe it when I see it. Oh, look…a unicorn…
The Politics of “Sacrifice”
Granted, when I first heard Obama use the word “sacrifice,” I cheered. Yeah, sacrifice! That’s what we need! Go Obama! But I think I’ve heard it a few too many times now, and, frankly, I’m getting to the point at which I resent being told to sacrifice.
Not only that, but I also resent hearing President Obama telling the union auto workers and retirees that they need to “sacrifice,” especially considering how much they’ve sacrificed already, while the executives who have mismanaged the companies into financial apocalypse are taking home paychecks in the millions of dollars. As each day goes by, it becomes more and more apparent that Obama’s team is a pro-Wall Street, elitist group of anti-labor corporatists, especially that bastard he appointed as car czar, Steve Rattner (the name fits eerily well). After looking into this hellish situation into which the automakers have dug themselves, the White House auto task force has concluded that it is essential to require even more concessions from the United Auto Workers. That’s right – more sacrifice. See, they haven’t sacrificed enough; these union workers can still feed their families and go to the doctor and live in their homes, and, in the auto task force’s eyes, this is apparently unacceptable. Oh, sure, the case will be made that the investors are sacrificing – and that’s supposed to somehow justify requiring more “sacrifice” from the workers who are bound to be hit the hardest by automaker management failures.
What about labor contracts? OH, wait, I forgot – labor contracts don’t mean anything. The AIG bonus contracts? Well, those were different. Those, we had to protect, otherwise lawsuits would have flooded the court system. But everybody knows that, here in America, unions can be trampled; it’s been done for years, and the pro-”little guy” Obama Administration is willing to do it some more. When in doubt, shred contracts and leave elderly retirees out in the cold when it comes to health care. And, while you’re at it, shy away from the idea of national health insurance, which is REALLY what everybody – automakers, workers, retirees – needs.
Change we can believe in? Is it here yet?
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