The current Health Care Reform (HCR) plans channeling through the halls of Congress will go into affect only in ’13; will cover only 94% of the legal population (up from the current 87%-90% that are already covered), and will rely heavily on tax increase. The Republicans (can) have a cheaper plan that can be operational by next year, and cover EVERY American that chooses to be covered, all this if Republicans want to go with this one.
Here is the plan (some parts of which that are already being considered in Congress and others already written about). it’s long, but worth reading when you have a few minutes:
1) Increase the earnings limit on those eligible for Medicaid, etc. example: currently, a family of three in NY can earn only $33,000 a year to be eligible for Medicaid. Increase the limit to, let’s say, $40,000, and also permit those enrollees to have more assets and investments. This will give health insurance for millions of Americans, and will be paid by 1) having more people covered, it will increase to long-term health of Americans thus cutting back on other health care costs.
2) The second source of income is actually bullet note two in this health plan: Millions of people who earn now too much to be eligible for government sponsored health care, yet earn too little to pay a monthly premium, have a lot money under their mattress or in the underground economy. When the government will raise the income cap to permit more people to be fully covered, and in addition permit low earners to save up more money and invest them without being kicked off Medicaid, etc, A LOT money will start flowing into the economy and this will help the government coffers.
3) Monthly health care premiums should be tax deductable, up to a certain income bracket, in this manner: A) If its employ provided, it should as the system is currently: Not be counted as income. B) Annual premiums that are within 5% of a person’s gross income of the previous year should be halfway tax deductible. Meaning, a person who earned $50,000 in 2008, yet in 2009 has a health care premium cost of just $2,500 (find me that, please) should deduct half that figure from his income. C) Premium costs exceeding 5% should be fully deductible above the 5%. Example: if this person pays $5,000 in premiums, up to $2,500 should get a half deduction, and the rest should get a full deduction. Of course, if you want to change the premium/income ratio, go ahead. I am just giving you an idea that will encourage middle to high income earners to go out there and get coverage for themselves and family.
4) Any one time co-pay, medical cost above $100 that is done in a regular medical office, out-patient center, etc. should be tax deductible, and any one-time cost exceeding $500 should be billed to Uncle Sam (via Medicaid, which means the State and the County government picks up half). Example: a person who is not on a government sponsored health plan, yet has a dentist fee of $90 bucks, should pay this damn bill just as he/she would pay for a new tire on his/her vehicle. But if the doctor says, ‘hey, you have to come back get a tooth removed for the cost of $225,’ this person should pay it in full, yet deduct $125 from his current year income. If this person needs a root cannel, with a cost of $1,200, the person will pay $500, and deduct $400 from tax, while the rest of tab gets picked up by the government. Again here, you can adjust the actual numbers, but I am just giving an idea that will encourage people to spend some of their money on health care, just as they would spend on repairing an important part of their vehicle.
5) Services provided in a hospital, especially under emergency care, should be paid by the patient up to only 10% of last year’s income. If this person has already in the current calendar year a bill exceeding the 10% mark, the government should pay the new bill in full.
6) When paying large medical bills (such as following an emergency), patients should be permitted to pay it in 12 monthly installments, without any interest, or with just a low interest (which in order to avoid paying interest, the patient might pay the bill much faster).
7) Permit interstate health plans, which mean a person in NY will be permitted to buy a health plan from a firm in Utah that maybe provides it for much cheaper. This will open a field of great competition.
8 ) Tort reform! Yes, the CBO said that reforming the laws that permit people to get compensation worth ten times the amount they would otherwise earn their entire life, will save $54 billion through ten years, but those numbers reflect if only modest reforms are put into place. How about putting tougher reforms into place? It will sure save much more money. (Example: if a doctor is SO reckless that he caused damages worth $8 million, this doctor should be barred from practicing, rather than just suing him to death. Two, how about putting a limit of how much money lawyers can earn from a law-suit? Let Obama’s Pay Tzar take care of this. Ok I don’t support this because I am a Capitalist, not a Socialist Democrat).
9) Let people keep more of their earned income. It will encourage them to pay more for health care.
To leftist who don’t like this plan I say. “hey, your beloved government will still be involved in health care, and in fact: on a greater scale than until now.” To those on the Right who dislike so much new government spending, look at this plan as a tax cut. The government is giving back some tax dollars to mid-to-high income earners in form of picking up the tab of some medical bills. To those in the center who Do like this plan, don’t hold your breath. It will not happen, and if you are of the 10%-12% legal citizens who don’t have coverage, you have a fifty percent chance of still not being covered when the year ’13 comes around.
