Public Option & ‘Co-Ops’; Trickery
Bowing to Republican pressure and an uneasy public, the AP reported today that the Obama administration is ready to abandon the idea of giving Americans the option of government-run insurance as part of a new health care system. Until of course, evening rolled around and the Sebelius trial balloon was shot down by liberals.
They can’t do this without a public option.
Republicans say a public option would have unfair advantages that would drive private insurers out of business. Critics say co-ops would not be genuine public options for health insurance. Instead, the White House would be open to ‘co-ops’, a sign that Democrats want a compromise so they can declare a victory.
Symbolic only. Don’t buy it. They’ll try again. They won’t stop. It’s a diversion.
Co-ops are simply boards that are appointed by President. This is just single payer by another name. But the Democrats are proposing the creation of nonprofit, member-operated health cooperatives to compete with insurers and it could be part of the package that is being drafted. But let’s back up.
How would Co-op’s work?
The government would offer start-up money in loans and grants to help doctors, hospitals, businesses and other groups form nonprofit cooperative networks to obtain and provide healthcare. The cooperatives could be formed at the national, state and local levels. A temporary government board would help get things started. The Democrats think that only about 25,000 members would be needed to make a cooperative financially viable. But in order to negotiate competitive rates with health providers, a cooperative would need at least 500,000 members.
Co-op membership would be offered through state insurance exchanges where small businesses and individuals without employer-sponsored plans would shop for health coverage. The Democrats say that co-ops would function as a mutual insurance company and quickly bring health insurance to some 12 million people, which would make this the third-largest insurer in the country.
Under the government-run Co-op, the members wouldn’t choose its officers — the President would. And, as nonprofit enterprises, Co-op’s would not have to worry about generating returns for shareholders. But, there are no free rides in Co-ops. Every person would have to pay into it (premiums) to become a member whether they use their own money or they get a government subsidy.
Much is being made of the fact that the co-ops would be non-profit. But so what? Almost half of Americans with private health insurance are currently covered by non-profit plans.
What do the Democrats say are the advantages?
Democrats say co-ops will provide more competition to private insurers and help drive down premiums. For Republicans, they offer a non-government-run means of providing more choice in the insurance market. Some centrist Democrats would be more comfortable voting for the health cooperative idea than a new government plan. Co-ops operate throughout the U.S. economy. Credit unions are member-owned cooperatives that compete with commercial banks. Co-ops have also been used to provide electricity and other services to rural areas. The Democrats note that dairy food producer Land O’Lakes, Ace Hardware, and the outdoor gear retailer REI are all co-ops. Washington State has a Group Health cooperative with more than 500,000 members and others operate in California and Minnesota.
What are the disadvantages?
Many Democrats worry that co-ops would be too weak to provide any real competition to the private insurance industry. Public plan advocate Senator John Rockefeller points out that healthcare cooperatives have been tried in the past to provide medical care to rural areas. Thousands were formed and almost all of them failed. Conservative critics argue that the co-operatives would just be another form of government-run insurance because of the role the government would play in setting them up and overseeing their operations. Ok great. That is all topical background information on Co-ops. So…
What is really going on?
Democrats go back and forth between Plan A, the ‘public option’ while also retreating to plan B, which is the ‘co-op’ option. Problem is; a co-op is just a back-door way into a public option and eventual single payer. Its symbolic in name only. The Democrats idea of health care reform is a public option.
A Co-op is name only for a public option plan. It is a Trojan horse. There is NO logical justifiable reason for any type of public option. There are at least 1300 insurance companies, many of which are NOT-FOR-PROFIT – we don’t need a public option to keep the insurance industry “honest”. The only reason for a public option is to eventually get Americans into a single payer system.
This ‘co-op’ is just a ploy to get the camel’s nose in the tent.
Any co-op that is national in scope, that secures significant federal start-up funding (as being discussed), and is run by federal officials appointed by the President is still government-controlled nationalized health care. Period. Once ‘co-ops’ are formed, the government will simply take them over just as they did two auto manufacturers and a host of financial institutions. Especially since the Fed can effectively eliminate the choices of competition now or down the road.
But a co-op sounds so farmer, fly-over country, friendly doesn’t it? Consider this:
This is starting out just like the creation of the Housing Bubble.
The federal government required lenders to lend to those who could not afford homes, which forced the private sector to get creative by pushing ARMs in order to still turn a profit. And, I’m not saying they were right in doing so.
Everyone jumped on this bandwagon, and when it came crashing down, it came down HARD. Now what happens when the federal government requires private insurers to offer federally-mandated rates to those who traditionally could not afford the best coverage? Well, the insurance companies are going to get creative and come up with something; everyone will think it’s so great, and a few years after that it will all come crashing down.
Then, in crisis, the government will declare the big insurers insolvent, and nationalize them. Oh yeah, and the Republicans will be blamed. Moreover, the insurance issue is disingenuous. What they want is to extend the benefits to more people including non citizens. Yes, illegals. Regardless of whether or not there is a public plan, the onus will be put on the insurance companies i.e. those with insurance to cover those without. That may include complete underwriting by the government i.e. the taxpayers.
Furthermore, there would have to be an onus on employers to offer plans, whether they want to or not. I am sure some form of subsidy would have to come. Now then, where will the money to fund this come from. Mostly from Medicare I fear. Beware of the shell game!! They are going to try to sneak this monster in…somehow! It is a classic bait & switch subterfuge. Even the argument of we need more competition is a facade. We need less government interference in the competition that is already in existence!
Ok, so now what?
Obama and Rham Emanuel are crazy like foxes. They are socialists who believe they know exactly how to manipulate ‘the people’ to do their will. What Republicans need to do instead of jumping in bed with the Democrats, is to fight this war down to the last man. Don’t think for a minute that King Obama and his posse will give up on this. The only legitimate outcome is to kill the entire bill. Kill it.
Why? Because the individual pieces wouldn’t make much sense by themselves but once assembled, would form a picture too awful to imagine. They will remove just enough of the most offensive parts of Obamacare to make it palatable for enough people to get it through. Then, with the basic framework in place, one-by-one they will add more pieces to the puzzle until they have what they want and the people won’t know what hit them.
How? Most likely they’ll try to pass their sneaky amendments in the House and do a more tempered bill in the Senate, then publicize the more tempered bill from the Senate and when it goes to Conference, they’ll switch it back to the House bill…this is the most likely scenario. Or, they’ll be tacking amendments on to some other big spending, sympathetic bill – like special education. Now, how could any Congressperson be against the Special Education bill? But this Special Education bill will happen only after they have passed some form of a Democrat-lite health care bill with loopholes and footnotes that only a lawyer can comprehend.
Co-op instead of Public Option – is a distinction without a difference.
Remember Co-ops are simply boards that are appointed by the President. This is just single payor by another name. One plan is to put in a “voucher” system ie…’co-ops’ in place. From public option health care reform to health insurance reform to now Co-ops, the Obama war room is not letting up. The redistribution STRATEGY is really about Stealthcare government control. And here’s the possible rub; whatever “compromise” bill that gets passed will still be largely unread by voting members of Congress, and it will still lay the groundwork for government control. They want a public option plan. One-percent is government control and after 5 years it will be 10%, 10 years from now it will be 30% – and so on.
Section 163 of Obama’s bill is merely an attempt by the government to legitimize its massive snooping under the cover of health care. In addition to deducting medical costs directly from you account, the law will allow the state to monitor all of your financial transactions (page 195). Obama wants to know your travel habits; your airline, car rental and hotel reservations.
Obama wants our medical records. He wants anyone on ‘antidepressants’ or with any medical “encumbrance” to have their guns taken away. Thus, an attempt to effectively marginalize the gun control issue. Who wants a gun owner on med’s Obama will exclaim?
Obama wants our banking accounts. Once that happens, game over. Nothing left to take over, except your soul. Then he will dictate how you will be taxed by lifestyle choices. He has succeeded to some degree with the takeover of the auto companies. People may not be aware that auto companies are also finance companies. That is how you are able to get low interest loans when you buy a car. Knowing your driving habits too will dictate your carbon emission tax.
And, does the bill remove the 8% penalty to companies who choose the public option. If you recall, if you receive your health care from your employer (as most do), and your employer decides to drop your coverage and instead pay the 8% penalty, then you could very well end up in the public option. If this happens, and private insurers start losing customers, you will see a growth of the public option and a dwindling of free market choices. Considering how difficult it is for small businesses to succeed anyway, 8% will make it impossible to have a profit margin and stay afloat. Businesses WILL go to the public option, because the government will make it financially difficult for them to stay with the private option. OBAMA knows this.
Riddle me this – which scenario is worse? Having the government telling your doctor what to do in order to keep costs down based on the quantitative results of treatment protocols? Or having a bureaucrat from a for-profit company telling your doctor what to do so that they make their profit numbers and get their fat bonuses at the end of the year? Whose motivations would you trust more? If any?
Rhetoric aside, there is no conceivable way for private insurance to compete with government subsidized insurance. This is really not a bill about health care – it is about seizing control of the economy and the American people and implementing every liberal proposal that can be squeezed into the legislation. He will try to appear as compromising while ramming socialized medicine down our throats.
And, we haven’t even talked about the $1 trillion in additional costs. Republicans are fools when they say they are open to the idea. Finally, I want to point out that the AARP makes money selling supplemental Medicare insurance and Medicare Part D drug coverage. The AARP is in bed with ObamaCare. The AARP’s liberal lobbying in the guise of helping seniors is a fraud.
The Democrats are planning to submit the public option through the back door. Our best hope is that even with the public option traded in for a Co-op, in that scenario, the dissatisfied liberals might vote no, and so might the more conservative Republicans (what is left), and consequently, it will be narrowly defeated. God help us.
But, even with all the citizen outrage spawned by the national health care, I don’t think Obama or his minions in Congress are ready to accept reality. That is, the public’s rejection of this bill. He does not care. And, Congress no longer represents the people. But, they figure the average American has only so much venom in them. They are floating this ‘Co-op” to see the public’s response. The argument for the ‘Co-op’ should be the same as the public option – no more government-control and run-away spending.
In many way, discussing the details implies agreement with the idea of a government run system in the first place. Any government control is socialism! Period. This evil will not go quietly into the night. They’ll sacrifice soldiers & citizens, when needed, and place blame on others to accomplish their agenda. I don’t know what it’s going to take to stop America’s slow roll into Socialism. Truth be told, the House Democrats don’t need any Republican votes to get health care passed. They own it. The Senate is split. And, the GOP should give them no political cover – at all.
The health care “co-op” approach now being discussed by the Obama administration will still give the federal government-control over one-sixth of the U.S. economy, with a government-appointed board, taxpayer funding, and with bureaucrats setting premiums, benefits, and operating rules.