Obama’s Lie

When Obama stated (on national television) that he is against “Single Payer” health care, he was lying. There are plenty of You Tube Videos to prove that.

He also campaigned on making sure “you won’t lose the insurance you have.” He lied about that too. There never was a way to achieve any of his goals without destroying the private health insurance market.

You Will Lose Your Private Health Insurance

So let’s get straight what the real essentials of the bill are-and how disastrous they are. Three provisions constitute the vicious heart of the Democrats’ health-care overhaul.

The first is “guaranteed issue” and “community rating.” This is the requirement that insurance companies have to offer coverage to people who are already sick, and that they be limited in their ability to charge higher rates for customer who pose a higher risk. The extra expense to the insurance companies of covering people with pre-existing conditions will get passed on to existing customers in the form of higher premiums. But why spend years paying these inflated premiums for insurance you’re not using, when you can get exactly the same benefits by waiting until you actually fall ill? The obvious result is that million of people, especially healthy young people, will quickly realize that there is no reason to buy health insurance until they get sick.

Following the usual pattern of government intervention, the health-care bill offers another intervention as the solution for the problem created by the first. The “individual mandate” requires everyone to buy health insurance and subjects us to a tax if we fail to do so. But this is an especially onerous new tax, the first tax not tied to any kind of income or activity. It’s not a tax on stock-market profits, say, or a tax on buying cigarettes. It’s just a tax for existing.

So fearing a public backlash, Congress didn’t have the guts to make this new tax very large-only $750. Yet actual insurance can cost more than $3,000 per year-and as we shall see, this legislation goes out of its way to drive up those rates by mandating more lavish coverage. So we end up getting the worst of both worlds. This provision won’t actually drive anyone to buy health insurance and prop up the risk pools for those who are insured. All it will accomplish is to create a brand new form of tax.

But the biggest power-grab in the bill is the government takeover of the entire market for health insurance. The bill requires all new policies to be sold on a government-controlled exchange run by a commissioner who is empowered to dictate what kinds of insurance policies can be offered, what they must cover, and what they can charge.

Right now, your best option for reducing the cost of your health insurance is to buy a policy with a high deductible, which leaves you to pay for routine checkups and minor injuries (preferably from savings held in a tax-free Health Savings Account) but which covers your needs in catastrophic circumstances-a bad car accident, say, or expensive treatment for cancer. This is the kind of coverage I have.

But the health-insurance exchange is intended to eliminate precisely this kind of low-cost catastrophic coverage. Its purpose is to force health-insurance companies to offer comprehensive coverage that pays for all of your routine bills-which in turn comes at a higher price. So under the guise of making health insurance more affordable, this bill will restrict your menu of choices to include only the most expensive options.

So there we have the real essence of this bill. It restricts our choice of which insurance to buy and pushes us into more expensive plans. At the same time, it destroys the economic incentive to purchase insurance in the first place and replaces insurance with a free-floating tax on one’s very existence.

What these people are doing is evil. Not wrong, but evil.

If you are looking for a strategy to stop this bill, forget calling your senator, and focus instead on funding opponents of Blanche Lincoln, Mary Landrieu, Dorgan, and Bayh (and/or any other so-called moderate). Once you’ve made a donation, call their office and tell them you will donate even more if they pass this bill.

It is my most fervent hope that someone in the Republican Party is working on a strategy to a) stop this, and b) base an entire campaign strategy not on its repeal, but its “improvement” under a new president and Congress in 2010 and then 2012. Running on “Repeal” will rally Republicans, but running on its “Improvement” will allow the party to make the case that they can get the issue right. We have to produce the proper alternative.

If the Democrats are stupid enough to pass such a destructive and evil bill, it is the responsibility of the Republican party to convince the electorate to punish them severely. This is a vile bill, and I hope you all work to stop it by virtually any means you can.