Health Care

WomenMatter will continuously post updates on all this and other issues as we monitor the continuing philosophical and practical debates nationwide. Please check back often for updates. Past updates are available for reference on the Healthcare Archives page.

America: Land of the Free, Home of the Brave, Place of the Uninsured

The US Census Bureau has reported that an estimated 43.6 million Americans did not have health insurance in 2002. That’s up 2.4 million from 2001.

The Census report also revealed that people of color and young adults between the ages of 18-24 years old are less likely to have coverage.

The jump in the number of uninsured Americans is due to a variety of factors: Unemployment rates rose from 4.7% in 2001 to 5.8% in 2002, and since the U.S. links health coverage to employment, loss of jobs means loss of coverage. In addition, health insurance premiums went up 14% in 2001, so many small businesses have been forced to cut benefits. The Census Bureau has also reported that poverty has risen and median incomes have dropped.

The economic downturn is particularly difficult for lower-income and middle-income Americans whose earnings are too low to afford private health insurance and too high to qualify for Medicaid.

The number of Americans covered by government health insurance programs has also risen. Between 2001 and 2002, a million impoverished Americans joined the Medicaid program.

Government response

Both the House of Representatives and the Senate have come up with possible solutions to this situation. There are several bills in Congress that propose aid to the uninsured. If any one of these bills were to pass, more Americans would be covered. But will any of them make it through both houses of Congress and on to the President?

Clearly, legislators recognize that Americans’ lack of health coverage is a problem…but is it a priority? Most of the current bills that would extend health coverage to the uninsured are stuck in the legislation process somewhere. Specifically, bills have been introduced to Congress then referred to a committee (or two or three) and haven’t been heard from since.

The current pieces of legislation that seek to expand health coverage vary greatly in size and scope. Some are minor tax credits that would aid a fraction of the population, and others overhaul our healthcare system completely. This year’s budget allows $50 billion for new legislation to help the uninsured.

Bills to insure S100- Access to Affordable Healthcare Act

The Access to Affordable Healthcare Act was introduced to the Senate and referred to the Committee on Finance on January 7, 2003. It is a bipartisan bill, sponsored by Susan Collins (R-ME), and Mary Landrieu (D-LA).

The bill aids small business owners, uninsured families, and self-employed individuals with the costs of health insurance. It creates a tax credit for small businesses so that they may more easily provide health insurance to employees. The bill also provides a tax credit to families who pay for their own private health insurance. Further, the legislation allows self-employed individuals to deduct 100% of their health insurance costs.

Some legislators are likely to argue that the bill is just too expensive. Like all tax credits, this proposal drains the federal reserve of already-scarce tax revenue. Nevertheless, both Democrats and Republicans are interested in expanding health coverage, and this bill helps those who work but simply can’t afford private health insurance–the small business owner and the self-employed.

Insurance for the unemployed

The tax credit seems to be a popular method for helping the uninsured afford health coverage. Senators Charles Grassley (R-IA) and Max Baucus (D-MT) have proposed a bill that would aid the unemployed. The proposal refunds two-thirds of health insurance costs for workers who lost their jobs when employers moved operations overseas. The plan would cost an estimated $31.6 billion over the next decade.

Opponents argue that the plan is expensive and helps relatively few. The treasury department claims that only 200,000 people are eligible for the credit. While most recognize that a consequence of globalization is the loss of American jobs and, therefore, of Americans’ health coverage, many lawmakers want a bill that will have a broader impact. Also at issue is the historical fact that technology and trade have always caused jobs to be eliminated or moved. When do workers have to find a new job in a new field as their work becomes obsolete. This is more than a health care question.

HR 676- Universal health insurance

The most dramatic of the bills is HR676, The United States National Health Insurance Act, which establishes a national health insurance plan for all. Introduced on February 11. 2003 by John Conyers (D-MI), this universal healthcare plan is unlikely to pass.

If signed into law, the bill would revolutionize our healthcare system, shifting it from mostly-private to entirely-public. This move would be extremely expensive because the national insurance plan would provide medical coverage and prescription drugs to everyone who lives in the United States and in U.S. territories. Congress would have to raise taxes considerably in order to pay for a change of this magnitude. But, the tradeoff would be healthcare for all. All American children and adults would be cared for.

The bill has been referred to several committees, including the House Ways and Means committee (because of the spending), the Energy and Commerce committee (because it would greatly affect private healthcare providers), and the subcommittee on health (for obvious reasons). On June 4, 2003, the House heard introductory remarks on the measure. Beyond that, there is no movement on this bill.

Would you like to see one of these bills moved into the spotlight? You can contact your representatives and let them know what you support and what you are against. Discuss this topic with other WomenMatter readers in our online forums, and learn more about healthcare by exploring this life issue.

Posted on: 10/15/2003

click here to go to next section

return to top