Jason Lewis: In the U.S. House, we’ve begun real health-care reform
Feb 9, 2017By: Jason Lewis
The Pioneer Press
Minnesota’s last minute “discount plan” will no doubt provide some much-needed relief for families still suffering under the state’s spiraling insurance markets.
Since there is no maximum income, those who don’t qualify for federal tax subsidies will thankfully be eligible for the 25 percent state-funded insurance discount.
But the truth of the matter is neither subsidy does anything to fix the very real sticker shock imposed by the Affordable Care Act.
Indeed, even advocates of the $310 million plan admit it represents only the latest Band-Aid on a health-care system in “an emergency situation,” as described by the commerce commissioner.
Those who still support the Affordable Care Act as it was written suggest the negative effects of Obamacare have been confined to those who purchase health care in the individual market, thus affecting only about 5 percent of Minnesotans. That simply isn’t the case.
Group plans have also seen their rates skyrocket while coverage shrinks. Mostly because of the misguided and heavy-handed provisions — including mandated benefits (such as pediatric dental for those with no kids), taxes and regulations — under the ACA.
For example, a friend of mine was recently offered the opportunity to purchase a very expensive employer-sponsored health-insurance plan that required a staggering $13,100 family deductible to be met before “insurance” kicked in to cover routine visits, urgent or hospital care and drug coverage.
According to a 2015 Kaiser Family Foundation poll, the average cost of health-care coverage offered by employers is now more than $18,000 for a family plan this year with a marked shift toward high-deductible plans.
As I pointed out in a recent Budget Committee hearing, before the ACA this was relatively rare. As premiums rose, deductibles and co-pays would drop. Now as premiums soar, so do the costs of out-of-pocket expenses for the average consumer.
In 2014 — before the latest spike in premiums — 8 million Americans paid the individual fine (or as the court reclassified, tax) rather than buy expensive government-mandated insurance coverage under Obamacare.
The ACA “death spiral” (rising costs drive out the young and healthy so that only the sick remain in insurance pools, further driving up costs) has left us with a Hobson’s choice: either pay the massive increases for less coverage, or the insurance firms drop out of the market altogether.
Far from President Barack Obama’s promise that families would save $2,500 a year, premiums are up $4,400 since 2010.
This is simply unsustainable for far too many families in the Second District, and something I promised to address as the member of Congress representing them.
In short, the federal government created this mess — and that’s who has to fix it.
Thankfully, we’ve begun in the House by passing a budget resolution that allows Congress to start the process of real health-care reform through reconciliation, a procedure that allows us to fast-track our replacement path to better health-care coverage for all.
As I said repeatedly during the campaign, it’s time to empower health-care consumers by allowing individuals to buy policies that fit their circumstances best and by enacting true portability. This includes giving the individual — not just corporations — tax advantages for purchasing care.
Rest assured, Republicans in Congress will continue to pass legislation that affords the best opportunity for quality health care for all Minnesotans — including high-risk pools and guaranteed renewable contracts protecting those with pre-existing conditions.
At the same time, we will look for market solutions that allow people to pay for the coverage they want, by replacing a poorly-thought-out program that has become the single biggest culprit in denying access to quality health care.