Introduction
As of June 11, 2010 there are 45 million uninsured Americans in the United States. President Obama proclaimed that the landmark law will require that all Americans will carry health insurance coverage. But the Republican Party says this is a betrayal of the will of the American people. This law will extend coverage to about 32 million of the nation’s 45 million that’s uninsured. This policy has made conservatives argue that the government has no right to require individuals to purchase insurance. The impact this will have on my life means that I will be required to carry health insurance after the age of 26 so I will have to be prepared to take steps in making sure I am insured. This essay will show the public concerns of this Reform and how it will affect the lives of millions. This essay will also show how this landmark law will affect the nation’s economic statues and what that means for policymakers.
The Problem
President Obama stated that we must address the cost of health-care in our nation he said we have to do something about making health-care affordable. “High-cost health care now causes a bankruptcy in America every thirty seconds” (Obama p. 390). The premiums have grown substantially faster than wages and are causing an average of 1 million Americans to lose their health insurance coverage. Currently “we pay about $250 billion a year for employer subsides, and most of that goes to higher income people” (McClellan p.377). Policymakers are having a hard time trying to figure out why the current Medicare taxes the middle and low class families more than that of the higher class families. The new landmark law created will change the current Medicare tax from current middle class families 2.9% and higher class 1.1% to middle 2.9% and higher 3.2%. This is a 2.1% increase on tax for the higher class families which policymakers believe will help solve middle class families being able to have coverage.
Steffie Woolhandler argues “If the bill works as planned there will still be 23 million uninsured people in 2019, of whom about a quarter will be illegal immigrants”(woolhander p.377). This brings up another problem that many who get insurance will be underinsured because of the simple fact that 16 million of the newly insured would be enrolled in Medicaid. Many doctors do not accept Medicaid because of the lower payments. The significance of this is that many will be allowed to go to the emergency room but they will have trouble getting primary care for conditions like high blood pressure. Another argument that arises is that forcing employers to offer health insurance. The National Federation of Independent Businesses say’s “It’s a bad idea anytime but is particularly destructive in the current economic environment”. Making policy maker’s question, how can we let Americans be insured through the company when the company itself is struggling. The big picture here is that small businesses will be halted in growing if they have to insure all their employees.
What undeniably persuaded policymakers to act was the public government run health insurance plan proposed by professor Jacob Hackler from Yale university. This plan would compete against the public option plan which would allow the creation of more jobs and help out small businesses. The idea of people experiencing breaks in insurance coverage would improve health and trim some cost. According to Mathematica Policy Research “adults with continuous insurance are healthier and at lower risk for premature death than those who have intermitted coverage” (p.381). This idea of substantial coverage pushed policymakers to act and speed up the process of health care reform in the United States of America.
The policy Response
There are several new laws put in place by congress due to the policy response and the pressure to reform health care. One of the new laws put into place is the High Risk pool this will insure that people with preexisting medical conditions are able to afford insurance. Conservatives feel that by allowing this all we are doing is creating an excuse for government to be involved in health care. Senator Orrin hatch said “the bill’s so called individual mandate, requiring everyone to purchase insurance is unconstitutional”(Hatch p.378). Another law put into effect is the Young adult coverage this allows people under the age of 26 to be covered under their parent’s health insurance. Policy makers see this as a good thing because it limits the young people not being covered it will end a cycle of families not being covered.
The benefit limits had to be altered because in the past, people with serious illnesses were almost forced to lose their coverage due to lifetime limit of the dollar value on their coverage. Along with benefit limits there is Medicaid expansion that allows states to offer Medicaid coverage to all poor people. Now this is a big issue with Republicans politicians and republicans in general. They argue that federal spending will explode. Rick foster say’s “federal health spending will rise by 311 billion by 2019 thanks the law”(Foster p.392). The projections republicans have say that this part of the law will cost 2.5 trillion over a decade.
Policy makers think the solution to the success of small business is in this law called Business tax credit. This will allow small business whose workers annual wage is under 50,000 get tax credits if they provide health insurance. There is also regulating insurance premiums this law states that insurers report the proportion of premiums dollars they spend on medical services. This will establish a process for judging annual premium increases and if they are justified.
Conclusion
In conclusion the policy to make Obama health care reform in affect has a lot of conflict along with it but it is clear to see that all the arguments posed about it are coming from the conservative side of the line. Many of the arguments are good points but the statistical evidence for the pros side because the policy makers to put in affect these laws that I went over. This issue of making health care more affordable has been a common interest with the public and policy makers presidents from Bush to Clinton have tried to debacle this problem with little options to go. Obama’s health care seems to be a little more in depth because we have little to no choice in changing how we do things all we need is for the republicans and conservatives to get on board.
The biggest law put into effect that will have the most significance would have to be to me the young adult coverage law. This is something I have been worried about with more people going to college due to the economic state we would see an increase amount of young people not insured. You would be asking young people to pay for insurance on top of trying to pay tuition at an early age. But seeing how the law states that we can be under our parents insurance till the age of 26 is great it takes away a burden for a little while and I can focus on trying to pay for school.
I can also see the benefit limits being a big impact on my life because of the simple fact that you never know when a serious illness is going to be placed upon me it can happen at any time. So in knowing that if this is the case my insurance cannot drop my coverage because it is an ongoing illness. These new laws put into place supporters say puts in place mechanisms for coverage expansions. In other words these new laws will pave the way to helping to come up with a healthcare reform that will benefit many not if all Americans.
Johnathon W.G. Williams I
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