A comprehensive and bold approach to stimulating the economy is essential, now more than ever. The answer is Universal Health Care but with a caveat. NO INSURANCE COMPANIES! I'm suggesting the new president get out his sharpest scalpel for this.
In a slick You Tube video the health insurer, Humana, blames rising health care costs (including prescription drugs and unnecessary tests) for the high cost of insurance. Their advice for customers is to stay healthy as a way to fight higher insurance rates. What they don't mention is profit. Humana, which derives about 70 percent of its revenue from government sources, more than doubled their profits in 2007. Big enrollment in Humana's Medicare plans helped the company's revenue grow a whopping 54 percent, to $5.66 billion from the previous year (read NY Times article).
While health care costs have been on the rise, and did climb 20% over a six year period (2000-2006), that doesn't explain health insurance premiums skyrocketing 87% during the same period.* Over the last 9 years, soaring premiums outpaced workers' earnings and overall inflation. The average worker contributes about $3,354 per year for family health insurance while his employer contributes an additional $9,325 on top of that.

As a nation, we already pay for the health care of those who need it the most while insurance companies cover those who need it the least.
So while insurance companies try to deny those with pre-conditions, and fight, or simply refuse coverage, when people get seriously ill; taxpayers continue to foot high premium bills for teachers, administrators, civil service workers and other government employees. Taxpayers also foot the bill for our veterans and military, our elderly, children in state heath care programs, those with disabilities, prisoners, and emergency response and care workers. But the real kicker is, on top of all that, we pay the insurance companies again when they manage Medicare plans like Humana's prescription drug benefit plan for the elderly.
Where is all that money going? Not to hospitals which are going bankrupt and not to nurses working double shifts on skeleton crews. Instead, for every $1 trillion the government spends on healthcare about $400 billion goes into health insurance company coffers.
Imagine businesses large and small, school systems, and all levels of government not having to budget in outrageous health care premium costs! Sure, without high premiums, families and individuals get a break, but more importantly, lowered property taxes could help homeowners keep their homes and create more affordable housing for renters.
Taxes could potentially be reduced by up to 1/3! We're talking about ALL taxes: Town, county, state, federal and school taxes. Taxes that make up your property taxes.
Businesses could stop being in the business of health care and get down to keeping employees and going green. Schools could spend more money on programs for students while maintaining smaller budgets. Physicians support health care reform and want to get back to the healing of patients instead of fighting insurance companies.
Universal Health Care could be, not only stimulating for the economy, but the foundation of real tax reform.
*Source: Employer Health benefits, 2006 Annual Survey, Kaiser Family Foundation and Health Research & Education Trust, September 2006

