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Democrats' Public Option Deception
Townhall.com ^ | March 3, 2020 | Sally C. Pipes

Posted on 03/03/2020 3:26:18 AM PST by Kaslin

When it comes to healthcare, Bernie Sanders is all alone. The Vermont senator is one of just two presidential candidates who support Medicare for All. The other, Senator Elizabeth Warren, has fallen in the polls and never fully embraced Sanders' radical proposal to begin with.

The rest of the Democratic field -- including former Vice President Joe Biden, former Mayor Mike Bloomberg and Senator Amy Klobuchar -- has instead proposed establishing a government-run health insurance plan that would compete against private insurers.

These candidates have a lot of support for their plans. Nationwide, 68 percent of adults favor a "public option" proposal, according to a recent Kaiser Family Foundation poll. Meanwhile, just over one in two adults -- 56 percent -- supports Medicare for All.

But this allegedly moderate approach wouldn't serve Americans any better. In fact, the public option is little different than Medicare for All. Both would result in a complete government takeover of the U.S. healthcare system.

Supporters believe the public option can offer comparable coverage to Medicare for All without eliminating private insurance. By providing additional competition, the thinking goes, it would push private insurers to reduce their costs.

But a public option would have several unfair advantages over private insurers. For starters, it wouldn't have to cover its costs. It could offer coverage at cut-rate prices and count on the federal Treasury to fill in the gaps if payouts to providers exceed the premiums it takes in.

Second, a public option would have the ability to dictate the prices it's willing to pay for care. Doctors and hospitals would have little choice but to accept the government's offer.

Most public option plans envision paying healthcare providers about what Medicare pays them. Doctors currently receive 25 percent less from Medicare than from people with private coverage.

A study published this year by the RAND Corporation found that private health plans pay hospitals 241 percent of what Medicare pays, on average. Hospitals claim they receive just 87 cents from Medicare for every dollar they spend treating the program's beneficiaries. By that math, Medicare underpaid hospitals by $54 billion in 2017.

The freedom to lose money and the ability to dictate reimbursement rates would give the public option an artificially low cost structure. So it'd be able to underprice private plans -- and steal their customers. One study found that a public option would cause 70 percent of people to drop their private coverage. Another study found that a national public option would enroll over 40 million people in its first year alone.

That would set the stage for private insurance's destruction. As providers began treating more and more low-paying public option patients, they'd likely raise prices for the privately insured to compensate. Insurers would pass those costs onto their customers in the form of higher premiums. That would push yet more people into the public option. And the cycle would repeat.

Eventually, there'd be no one left for private insurers to cover. So they'd go out of business. One study found that 20 percent of state marketplaces would not have a private insurance option within eight years of a public option taking effect.

In other words, they'd arrive at single-payer -- if not totally intentionally.

Democrats claim they want to build on Obamacare or protect private insurance. But their plans would destroy healthcare as we know it -- and put the government in charge of the country's health insurance system.


TOPICS: Culture/Society; Editorial; Politics/Elections
KEYWORDS: healthcare

1 posted on 03/03/2020 3:26:18 AM PST by Kaslin
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To: Kaslin

L8r


2 posted on 03/03/2020 3:30:51 AM PST by preacher ( Journalism no longer reports news, they use news to shape our society.)
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To: Kaslin

“Nationwide, 68 percent of adults favor a “public option” proposal”

A lot of Americans like to be told sweet lies like “public option”. That way they can act scandalized when the inevitable happens, in this case, Medicare for All. Everyone will have free insurance that provides actual health care to almost no one, but at least they’ll be able to claim it wasn’t what they signed up for.


3 posted on 03/03/2020 3:40:32 AM PST by rightwingcrazy (;-,)
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To: Kaslin

All in support until they find out they have to pay triple for Cuban healthcare


4 posted on 03/03/2020 3:46:07 AM PST by ronnie raygun (nicdip.com)
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To: rightwingcrazy

“Medicare for all” will simply transfer the money(premiums they call it) going to private insurance companies to the US Govt in the form of taxes. Will they do a better job? Probably not, but it will do one great thing: that is it will de couple health insurance from employment which would be the only good thing to come of it.


5 posted on 03/03/2020 3:47:51 AM PST by central_va (I won't be reconstructed and I do not give a damn....)
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To: Kaslin
Hospitals claim they receive just 87 cents from Medicare for every dollar they spend treating the program's beneficiaries.

So, the hospitals can't get away with charging a Medicare patient $55 for an aspirin?

6 posted on 03/03/2020 4:01:25 AM PST by jeffc (The U.S. media are our enemy)
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To: Kaslin

How much do want to bet that the Rats will use this in their Free Health care for all narrative?


7 posted on 03/03/2020 4:02:33 AM PST by DarthVader (Not by speeches & majority decisions will the great issues of the day be decided but by Blood & Iron)
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To: Kaslin

Saw an add this morning for bloomburg claiming bloomburg has closed 300 coal fired plants. Nobody lies anymore; especially former mayors ....


8 posted on 03/03/2020 4:25:59 AM PST by no-to-illegals ( Liberals, leftists, Rinos, moslems, illegals, lamestream media. All want America to fail and die)
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To: rightwingcrazy

Let me tell you about the new RedLine bus routes in Indianapolis...


9 posted on 03/03/2020 4:52:00 AM PST by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: jeffc

They still charge the “$55 of an aspirin”, they just don’t get paid that much....
My wife was going to Ochsners for an issue and the bills submitted to Medicare/TriCare for Life were over $40K...final total payouts between the 2 insurances was under $12k.


10 posted on 03/03/2020 5:04:19 AM PST by trebb (Don't howl about illegal leeches, or Trump in general, while not donating to FR - it's hypocritical.)
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To: central_va

:: transfer the money(premiums they call it) going to private insurance companies to the US Govt in the form of taxes. ::

What happens to the GDP when you extract 1/5 of any “industry”? Governemnt does not contribute to the GDP. Any industry “nationalized”, in whole or in part, subtracts from the economy.

What happened when the healthcare industry was nationalized by ObamaCare? What happened to the GDP/economy when GM was nationalized (”loan” with conditions set by gummint)?


11 posted on 03/03/2020 5:20:25 AM PST by Cletus.D.Yokel (Scatology is serendipitous.)
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To: Kaslin

A public option would eventually suck all oxygen from the room and crowd private insurers out of the business. It’s the local route to single payer as opposed to the expressway.


12 posted on 03/03/2020 5:49:13 AM PST by Buckeye McFrog (Patrick Henry would have been an anti-vaxxer)
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To: Cletus.D.Yokel

It’s a zero sum game. The employees of insurance companies either become direct government hires or contractors.


13 posted on 03/03/2020 6:28:25 AM PST by central_va (I won't be reconstructed and I do not give a damn....)
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To: AdmSmith; AnonymousConservative; Arthur Wildfire! March; Berosus; Bockscar; cardinal4; ColdOne; ...
Bernie Sanders is all alone. The Vermont senator is one of just two presidential candidates who support Medicare for All. The other, Senator Elizabeth Warren, has fallen in the polls and never fully embraced Sanders' radical proposal to begin with.

14 posted on 03/03/2020 10:16:48 AM PST by SunkenCiv (Imagine an imaginary menagerie manager imagining managing an imaginary menagerie.)
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