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Pros and Cons

In: English and Literature

Submitted By Jetvictor
Words 434
Pages 2
Pros

More coverage. Coverage will expand to cover nearly 95 percent of legal U.S. residents. With a recent study showing that patients without health insurance have a shorter life span, coupled with the number of uninsured approaching 50 million in 2010, that is perhaps the biggest reason to cheer.

A more competitive insurance industry. Increased regulation will stop insurance companies from rigging prices–that recent 40% insurance premium increase in California comes to mind. Competition with newly formed public entities will ideally make the entire industry more competitive. Also, insurance companies are now required to post their balance sheets, executive compensation, and administrative costs online.

Insurance companies will have to accept everyone. No more pre-existing condition exclusions. They can’t place limits on coverage anymore, either.

Cheaper prescriptions for seniors.

It’s reform. We need reform. We’re in a situation where healthcare is even becoming unaffordable to employers, leaving employees with higher out-of-pocket expenses even if they’re ensured. Healthcare costs have jettisoned innumerable people from the middle class. People get sick and die because insurers won’t take them. This isn’t functional. Any kind of reform helps.

Cons

Cuts in Medicare. The elderly on Medicare will see their benefits changed dramatically. The biggest item being used to pay for the new program is more than $500 billion in cuts to the program at a time when 72 million baby boomers become eligible for it in the next decade. The second biggest move to pay for this is by raising and expanding the Medicare tax.

Costs. Any way you slice it, adding another $940 billion to the deficit is not a good thing for the US economy. Yes, the Congressional Budget Office said that healthcare would actually reduce the budget deficit, but nobody really knows what will happen.

No new incentives for primary care physicians. Physicians are increasingly turning to specialties as a way to pay off expensive medical school debt and make more money. This means more workload and burnout for primary care physicians, who get no bureaucratic relief under the current reform bill. That also means longer wait times, more obstacles, and potentially higher specialist costs for consumers.

More taxes. The government has to pay for healthcare reform somehow. Taxing businesses is a big strategy. For example, medical device makers will see a new 2.9% excise tax. Families earning more than $250,000/year will have to pay higher Medicare taxes. Also, this isn’t a tax, but employers will be fined $3,000 per employee if they don’t provide affordable medical coverage.

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