Insurers Propose More Taxpayer Money Under Health Care Law
Federal Bailouts Not Enough to Sustain System?
(Washington, D.C.) – America's leading health insurance companies have compiled a list of recommended policy changes that they argue will improve the Affordable Care Act (ACA), also known as Obamacare. The recommended changes include increased taxpayer subsidies to encourage young and healthy people to buy into the system, the expanded availability of catastrophic plans that cover less but cost less, and a series of more minor changes. The proposed expansion of catastrophic plans combined with the new and broader subsidies would increase the cost of the law to the taxpayers, but would also help guarantee a stable customer base for insurance companies that are losing money and seeking federal bailouts. These bailouts are specifically authorized in the health care law, and the White House has requested $5 billion in funding for them in 2015.
Daniel Garza, Executive Director of The LIBRE Initiative released the following statement:
"The Obama administration and its allies in Congress continue to act as if the new health care law is working well. But insurance premiums aren't falling – as the White House promised they would – they are rising. And companies are seeking more taxpayer funding to keep this broken system afloat. This is extremely important to the Hispanic community – who tend to be younger and healthier than the population at large, and who therefore ultimately pay even more for their care.
Ronald Reagan famously said that 'government doesn't solve problems; it subsidizes them.' That's certainly true here. While providing more care options in the marketplace could be beneficial, Congress should reject requests for new and more expensive taxpayer subsidies for health care. Instead, the White House needs to come forward with ideas for fixing health care in America. Despite their rhetoric, the administration has yet to put forward even one, single legislative proposal to address the obvious and serious problems with the law. That has to change."
For interviews with a LIBRE representative, please contact: Brian Faughnan, 703-678-4581 or Steven Cruz, 202-578-6173.