Conservative Health Care Plans Make Matters Worse

This week once again marks the national "Cover the Uninsured Week," a depressingly familiar anniversary. Forty-four million people in America still live without health insurance – an increase of 4 million in two years – and millions more remain worried they will lose existing coverage or be forced to pay more their insurance. Despite these concerns, congressional leaders are bringing three bills to the floor today that will put patients at risk of higher health care bills and potential fraud, undermine existing sources of coverage, and do more for the health insurance industry than for the uninsured.

• Conservative health policies undermine existing sources of coverage and put patients at risk. A recent analysis by MIT economist Jonathan Gruber found that the president's proposed tax credits for individual health insurance and expanded health savings accounts (HSAs) would together cause 2.6 million people to lose their employment-based coverage and become uninsured. HSAs also require families to pay at least $2,000 – on top of insurance premiums – before any coverage kicks in.
• Conservative health policies benefit corporations and the wealthy, not the uninsured. HSAs are nothing more than a lucrative tax shelter. Other conservative ideas, like association health plans (AHPs) would benefit the trade associations that sell the new policies, free from virtually any government oversight. Similarly, tax credits for insurance – a third conservative proposal – would be directed to the individual insurance market, without any protections to ensure that the subsidies were passed through to consumers or that the coverage would be available to those who need it most.
• Every person in America can have affordable, meaningful health coverage by the end of this decade. Congress should rise to the challenge issued by the Institute of Medicine to ensure that all Americans have basic health care coverage within the next six years. A number of sensible, non-ideological ideas exist for meeting this challenge if Congress would get serious about health care and drop plans that are better for the health industry than for average Americans.

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