What's ailing health care? - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
July 2, 2017 Newswires
Share
Share
Post
Email

What’s ailing health care?

Deseret News (UT)

WASHINGTON -

The Senate health care bill, which was scuttled Tuesday until after July 4, was doomed by two narratives: Republicans are mean, and poor people would be dropping like flies.

Assisting the opposition was none other than President Donald Trump, who called the earlier version passed by the House "mean." Trump met with Senate Republicans on Tuesday afternoon to plot their move to repeal and replace Obamacare, which remains the GOP's objective.

The "mean" meme was easy enough to embrace given the bill's cuts to Medicaid, which provides coverage for the poor, disabled and elderly. Nearly two-thirds of nursing home residents are supported primarily by Medicaid.

Adding insult to injury, the Senate bill included tax cuts for the wealthy, while also promising higher insurance premiums (in the short term) for middle-income earners. Get this: A family of four earning $56,800 a year would have seen annual premiums jump to $20,500, almost the same amount of a proposed tax cut for someone earning $1 million a year.

The image of the yachtsman polishing his brass fittings while children and elderly women tread water below springs to the minds of cartoonists and incumbents. Thus, a rising number of Republican senators were threatening to vote "no" on their own party's bill, which would have killed it.

While it's true that those insurance rates for middle-income earners would go up for the first couple of years - by a lot - it's also true that they'd soon thereafter drop to 30 percent lower than current rates. This is according to the nonpartisan Congressional Budget Office, which on any given day is a brilliant economic oracle or the crazy bird lady with canaries in her hair.

The media have been mildly rabid ever since Republicans went into a secret cave somewhere to hammer out their ill-fated plan. They've slammed the GOP for proposing to dump 22 million people from insurance coverage, despite the likelihood that millions of those would be dropping themselves - self-deporting now that coverage would no longer be mandated, as it has been under Obamacare. Otherwise, popular punditry doesn't permit much discussion of details and tends to favor nibbly nuggets of nonsense. I was surprised to hear MSNBC's Joe Scarborough go death-squad on "Morning Joe" Tuesday, saying that "poor people are going to be locked out of their doctors' offices." Obviously, he was speaking metaphorically, but such hyperbolic fulminations can become memes of their own.

Also rarely if ever mentioned, states already fund about 40 percent of Medicaid - and no one was forcing them to cut their programs, as James Capretta of the American Enterprise Institute pointed out. Moreover, the federal government will still spend about $5.2 trillion on Medicaid during the next decade. The Senate bill, meanwhile, proposed spending money on reducing premiums so that insurance would attract younger, healthy people to stabilize the market.

Would this work? Clearly, it hasn't under Obamacare. Having the young and healthy sign up was crucial to the success of the Affordable Care Act. Since they would likely be infrequent consumers of health services, their premiums theoretically could defray the cost of treating pre-existing conditions, as well as insuring the previously uninsured.

Despite a government mandate and penalties for failing to sign up, young Americans basically responded with "You're joking, right?"

The mandate's failure to be persuasive should have surprised no one. Government-enforced altruism doesn't sit right in a nation conceived during a tax revolt and born in the cradle of individual freedom. And, if I may stroke realism's head for a moment, health insurance and pre-existing conditions are fundamentally incompatible. Sick Person A gets insurance coverage only if Healthy Person B helps pay for it. Half the country is fine with this proposition. The other half would rather skimp on medical care than surrender a drop of freedom.

This, in essence, is what makes bipartisan reform so difficult.

To the conservative mind, the repeal-and-replace bill wasn't so much mean as tough. To the liberal mind, it was indefensibly heartless and cruel. But if one thinks reducing the debt and deficit is necessary, then isn't entitlement reform essential?

When would such cuts ever be popular - or painless?

Somewhere between the thorny cliffs of Dire Straits, where millions die from Republican meanness, and the gently sweeping shores of Obamaland, where everyone gets a lei and lives to 150, is a big enough boat to get us to market-based health care reform.

For now, go wash your hands.

Kathleen Parker's email address is [email protected].

Credit: By Kathleen Parker For the Deseret News

Older

Marin hospitals see major risks in GOP health bills

Newer

Colorado’s most vulnerable Medicaid recipients fear changes in GOP’s health plans

Advisor News

  • Living longer, retiring poorer: Why fragmented systems are failing Americans
  • Women say their advisors respect them, but talk down to them
  • How PEPs compare with traditional 401(k)s
  • Allianz studies why 42% of Americans retire sooner than expected
  • Why advisors should be talking about life settlements
More Advisor News

Annuity News

  • Jackson Introduces Dow Jones Industrial Average Index Option, Flexible Premiums, Six-Year Rate Guarantee in Latest Registered Index-Linked Annuity Launch
  • Senior Market Sales® Fortifies Annuity Reach With Acquisition of Retirement Planning Firm Stratton & Company
  • NAIC regulators continue pushing for annuity illustration updates
  • Wink: Flat first-quarter annuity sales fall just short of $100B
  • 26North Re Agrees to Acquire 100% of Independent Insurance Group
More Annuity News

Health/Employee Benefits News

  • Researchers from Maccabi Healthcare Services Report New Studies and Findings in the Area of Hepatitis C Virus (Implementation of a Hepatitis C Screening Program for At-Risk Former Soviet-Bloc Immigrants in a Large Health Maintenance Organization): Liver Diseases and Conditions – Hepatitis C Virus
  • More than 40,000 Coloradans will need a new health insurance carrier next year. Here's who is affected.
  • Some retired NC state workers will pay more for health insurance. Working enrollees could save.
  • Cuts coming to Kentucky Medicaid program, social services and more
  • Cigna drops coverage of GLP-1 obesity drugs for its own employees
More Health/Employee Benefits News

Life Insurance News

  • KBRA Releases Research – Private Credit: A More Balanced Review of the NAIC PLR Review Process for Insurance Balance Sheets
  • Jackson Introduces Dow Jones Industrial Average Index Option, Flexible Premiums, Six-Year Rate Guarantee in Latest Registered Index-Linked Annuity Launch
  • State locates $107M in missing insurance funds
  • The opportunity in the bottom half of the K-shaped economy
  • AM Best Affirms Credit Ratings of CVS Health Corporation’s Aetna Inc. Subsidiaries
More Life Insurance News

- Presented By -

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Aim higher during Annuity Awareness Month
Raise the bar with our diverse portfolio of Ascend annuities, backed by superior financial strength

Maximize Your FIA Case Results
Learn a repeatable process to review, reposition, and present FIA opportunities with confidence.

You Could Be Losing Up to 20% of Your Commissions
GreenWave helps you find, fix, and prevent commission errors.

True Independence Means Having Choices
Cambridge offers flexibility, stability, proven tools—no private equity strings attached.

Life moves fast. Your BGA should, too.
Stay ahead with Modern Life's AI-powered tech and expert support.

Press Releases

  • RFP #T01625
  • Rockwood Programs Appoints Kerry Ladouceur as Vice President, Financial Lines
  • JP Insurance Group Launches Commercial Property & Casualty Division; Appoints Joe Webster as Managing Director
  • Sequent Planning Recognized on USA TODAY’s Best Financial Advisory Firms 2026 List
  • Highland Capital Brokerage Acquires Premier Financial, Inc.
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet