Healthcare Reform - The President's Address to Congress - How will it impact your profession?

by jeanniebeanz 17 Replies latest social current

  • jeanniebeanz
    jeanniebeanz

    I posted this in another thread, but thought it deserved a serious discussion topic of it's own. Does anyone else work in the insurance industry, or are you involved in regulations or benefits plan design and administration? If so, would you be interested in a discussion of the speech and perhaps Healthcare Reform's anticipated impact on their own profession?

    I am very interested in this topic since Healthcare Reform will likely have a great impact on my chosen profession as a Benefits Plan Manager. Please let me know what you think.

    ******************

    My take:

    The president spent about a third of his time clearly defining the problems that face our nations healthcare system. Although he left out any strong statements concerning the role of frivolous lawsuits in that cost, he did a good job defining the other problems... nothing new there, but a good start...

    He then went into a very few, poignant pieces of his 'vision' of his plan (there is currently no plan submitted, it is still in draft form).

    · If you have Health Insurance now whether through Private/Medicare/ER sponsored - there will be no requirement that you change your plan. However:

    o There will be strict new guidelines and regulations placed on that insurance plan by the federal government

    o Insurance companies/plans will be forced to accept members with pre-existing conditions

    o Insurance companies will not be allowed to drop members if they become ill (except for non-payment of premiums)

    o Insurance companies cannot place lifetime or annual dollar limits on care

    o There will be a federally mandated cap on maximum Out of Pocket costs to members

    o Routine/preventative care will be required to be covered (mammograms/colonoscopies)

    · If you have no Health Insurance now

    o Affordable coverage will be made available (sounds like the intent is a catastrophic plan)

    o One method would be to establish an Insurance Exchange (that will work as a risk pool similar to the way companies use group plans)

    o Group Rates would be made available under Insurance Exchange

    o Tax Credits would be made available to assist individuals in seeking their own insurance

    · These changes would not take place for four years, so in the meantime, the government would set up and run a basic Catastrophic Plan so that people who are without coverage right now, and are currently ill, can receive care.

    · There would be penalties for remaining uninsured if you can afford one of the options and you fail to do so.

    · If you are a small business and your profit margins prohibit offering a plan to your employees, you will be able to file a Hardship Waiver in order to remain uninsured.

    After that, the president went into more of the 'why we need the plan' speech and chastised those who cannot work together to build a reform bill that would work. He decried fear mongering and said he'd not tolerate it anymore, but that he would work with anyone who was willing to work together. He also alluded to a preference to de-regulate the insurance slightly in that companies could offer insurance plans across state lines. (Personally, I think that is a very good idea.)

    He ended with a mini eulogy to Ted Kennedy and that was about it.

    Not exactly a homerun, but I do think that at least he is talking about a few specifics in his plan. I found the speech helpful, and I think that the healthcare industry has a little better idea what they're working with here.

    My take. Any others?

    J

  • snowbird
    snowbird

    I don't work for, in, or around the insurance industry; I've an administrative position with a governmental agency.

    I'm insured by the largest provider in the state of Alabama (yea, Obama gave them a call out). I've had several run-ins with this insurer, and if something more cost effective comes along, I'm jumping ship.

    I'm sure I'm not alone in this thinking.

    Tee hee hee

    Sylvia

  • JWoods
    JWoods

    This whole health care issue has indeed morphed to a great degree into a blatant all-out attack on the health care insurance industry. We again heard this complaint against insurance executives and profits last night.

    I have wondered what the general economic effect would be if huge numbers of jobs were lost from this industry, and the profits they make were not reseeded back into the economy.

    It would logically seem not very different from losing jobs in autos, steel, and home building.

  • designs
    designs

    Good ideas are being floated in these discussions. Currently many insurance plans have caps and exclusions that go into effect just when you need them the most.

    In my parents case they had Federal insurance since my father had been a federal employee. In the last year of both of their lives they maxed out the allowance for medical coverage. My father was moved from a general hospital and received good care at the Veterans hospital during the last few months of his life. He qualified for both programs. But what if they hadn't been federal employees. Tax paying citizens all of their working life and then when serious illness strikes not having the insurance to cover their needs would have been a disaster.

    No one likes higher taxes but some of the 'cradle to grave' plans in Norway and other countries has its appeal and can cost less than private insurance premiums without the fear of having caps or running out of funds.

    We are our brothers keepers

  • snowbird
    snowbird

    We are our brothers keepers

    Of course, we are.

    Notwithstanding that old murderous Cain!

    Sylvia

  • jeanniebeanz
    jeanniebeanz

    I'm insured by the largest provider in the state of Alabama (yea, Obama gave them a call out). I've had several run-ins with this insurer, and if something more cost effective comes along, I'm jumping ship.

    Allowing interstate commerce in the Insurance Industry would solve some of this problem. There is no competition in Alabama as the president acknowledged. Honest competition would force your provider to re-think their approach to their customers. Service and coverages would improve if they had that competition or they would quickly be out of business.

    I have wondered what the general economic effect would be if huge numbers of jobs were lost from this industry, and the profits they make were not reseeded back into the economy.

    When you consider the fact that United Healthcare alone employ more than 118,000 people, and often in isolated pockets within regions, the economic impact would be dreadful. That is only one major US carrier.

    Obama acknowledged that these companies are employers of our neighbors and family members and that the goal should not be to drive them out of business, but rather to challenge them to improve their practices. Where they blatently or unjustly deny care without reasonable cause, government should step in and force 'doing the right thing' upon them. We are not talking about companies who can't do better, we are talking about companies who choose not to do so because doing the right thing would reduce profits and force their stocks to drop. Personally, I don't think that what kind of healthcare a critically ill person gets should depend on the price of stock.

    they maxed out the allowance for medical coverage

    I agree that this should go. Keep in mind that one premie can go through a million dollars of care in three days (documented case in my personal experience) A renal failure can cost three million. Many plans cap coverage between one and five million dollars in Group Plans. Most individual plans cap it at one million and some at 500,000. After that, you're on your own. This has devastated multiple families.

    J

  • journey-on
    journey-on
    I have wondered what the general economic effect would be if huge numbers of jobs were lost from this industry, and the profits they make were not reseeded back into the economy.
    It would logically seem not very different from losing jobs in autos, steel, and home building.

    Do I smell a future government bail-out (ala the car industry)? This is one way the government can step right in, take over, and become "the biggest shareholder". Voila! Mission accomplished through the back door. Stay on watch people! Keep an eye on the left hand if the right hand is waving.

  • jeanniebeanz
    jeanniebeanz

    Do I smell a future government bail-out (ala the car industry)? This is one way the government can step right in, take over, and become "the biggest shareholder".

    JO,

    One never knows, right? But I know that these companies can prevent it from happening. The question is, how will they adapt to meet the challenges of increased regulation if this passes? I personally have watched ridiculous administrative waste being ignored in these large carriers. They've got to do better and they can.

    Did you agree with anything in the speech? Will passing of a healthcare reform bill impact your own chosen profession?

    J

  • journey-on
    journey-on

    I posted on another thread that I thought it was workable. The specifics need to be laid out clearly and concisely, but I think it is a start. I don't trust Obama or the left, so I will want my reps to do their job attentively. I don't personally work in the health industry, but have family and friends that do.

  • jeanniebeanz
    jeanniebeanz

    Thank you, JO. That is interesting... have you spoken to your family/friends in the industry about HR3200 and the possible reforms still in process?

    J

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