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Is government-run public health care option live or dead?

18 08 09 - 13:54



Public Option — Here or History?
By Jane Norman, CQ Staff

Obama administration officials are insisting that the government-run public option in their health overhaul proposal is alive and well, despite remarks, comments and responses that hint otherwise.

Appearing Sunday on CNN’s “State of the Union,” Health and Human Services Secretary Kathleen Sebelius ’ commented that the initiative is “not the essential element” for providing consumers with choice and competition in insurance plans.


And on Aug. 15, at a town hall meeting in Grand Junction, Colo., President Obama brought an avalanche of headlines suggesting that the public option, a key but controversial element if the House bill (HR 3200), is ready to be junked by a White House facing falling poll numbers when it comes to health care.

Democrats, though, quickly lined up to show Obama just how difficult that might be, with defenders ranging all the way up to House Speaker Nancy Pelosi , D-Calif.

“A public option is the best option to lower costs, improve the quality of health care, ensure choice and expand coverage,” she said. “The public option brings real reform to lower costs over the 10-year period of the bill.”

In his Colorado appearance, Obama mentioned the public option while explaining the benefits the overhaul would have for those who already have insurance coverage. Polls have shown that many people are comfortable with the coverage they now have.

“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,” Obama said, as he explained how the overhaul could solve problems with insurers who deny coverage for pre-existing conditions or raise premiums.

White House officials said Monday the remarks by Sebelius and Obama were being taken out of context and misunderstood. “Nothing has changed,” said Linda Douglass, spokeswoman for the White House Office of Health Reform, in a statement. “The president has always said that what is essential is that health insurance reform must lower costs, ensure that there are affordable options for all Americans and it must increase choice and competition in the health insurance market. He believes the public option is the best way to achieve those goals.”

Whether the White House was really preparing to scrap the public option or just floating a trial balloon in the time-honored Washington fashion, the reaction from Democrats was swift.

Pelosi pointed out that the president stated in March that “the thinking on the public option has been that it gives consumers more choices and it helps keep the private sector honest, because there’s some competition out there.”

“We agree with the president that a public option will keep insurance companies honest and increase competition,” she said. “There is strong support in the House for a public option. In the House, all three of our bills contain a public option, as does the bill from the Senate HELP Committee.”

Rep. Raul M. Grijalva , D-Ariz., co-chairman of the 80-member House Progressive Caucus, said he and a majority of caucus members could not support a health care overhaul without the public option.

“The public option is central to health care reform,” he said. “... I look forward to working with my colleagues to develop comprehensive legislation that allows all Americans to choose the health care plan that’s right for them and their families. But I will not support any bill that does not include a public option.”

Jacki Schechner, a spokeswoman for Health Care for America Now, which has launched a major national campaign on behalf of change in the health system, said Obama has been very clear about the need for a public option and has been consistent in his support.

“I think there’s a media narrative that emerged that’s not 100 percent accurate,” she said. “It’s hard for me to tell what exactly their intentions are but I would say that [dropping the public option] would be a very, very bad idea.”

Former Democratic National Committee Chairman Howard Dean, appearing Monday on CBS’s “The Early Show,” said the public option is essential for House passage. “I don’t think it can pass without the public option,” he said. “There are too many people who understand, including the president himself, the public option is absolutely linked to reform.”

And John Sweeney, head of the AFL-CIO, said the public option is a must and “we will continue to relay that message forcefully to the Senate and the White House.” He said that “unfortunately, the usual suspects opposed to reform are trying to hijack the reform process and attack the public health insurance option because they are afraid of competition and they want to keep gouging working families.”

Insurance companies have been strongly opposed to the public option, saying it would destroy employer coverage and harm patient care, and didn’t seem distressed to hear of its possible demise.

“Unfortunately, the debate about a government-run plan has become a distraction and overshadows the many areas where there is broad consensus,” said Robert Zirkelbach of America’s Health Insurance Plans. “The same goals can be achieved by enacting insurance market reforms with a personal coverage requirement, expanding the safety net, providing one-stop-shopping for individuals and small businesses, and giving a helping hand to low and moderate income families to purchase coverage.”

Jacki Schechner, a spokeswoman for Health Care for America Now, which has launched a major national campaign on behalf of change in the health system, said Obama has been very clear about the need for a public option and has been consistent in his support.

“I think there’s a media narrative that emerged that’s not 100 percent accurate,” she said. “It’s hard for me to tell what exactly their intentions are but I would say that [dropping the public option] would be a very, very bad idea.”

Former Democratic National Committee Chairman Howard Dean, appearing Monday on CBS’s “The Early Show,” said the public option is essential for House passage. “I don’t think it can pass without the public option,” he said. “There are too many people who understand, including the president himself, the public option is absolutely linked to reform.”

And John Sweeney, head of the AFL-CIO, said the public option is a must and “we will continue to relay that message forcefully to the Senate and the White House.” He said that “unfortunately, the usual suspects opposed to reform are trying to hijack the reform process and attack the public health insurance option because they are afraid of competition and they want to keep gouging working families.”

Insurance companies have been strongly opposed to the public option, saying it would destroy employer coverage and harm patient care, and didn’t seem distressed to hear of its possible demise.

“Unfortunately, the debate about a government-run plan has become a distraction and overshadows the many areas where there is broad consensus,” said Robert Zirkelbach of America’s Health Insurance Plans. “The same goals can be achieved by enacting insurance market reforms with a personal coverage requirement, expanding the safety net, providing one-stop-shopping for individuals and small businesses, and giving a helping hand to low and moderate income families to purchase coverage.”

This story originally appeared in CQHealthbeat.


 

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