Only a little over 50% have opted for the employer insurance plan, as when wages are $7.00 to $10.00 an hour, over 20% of their income goes towards health insurance. With stats as such it would seem logical that Wal-Mart would maybe entertain the government insurance plan too so the rest of the employees can also have coverage. BD
While mega-retailer Wal-Mart announced yesterday that they supported an employer-funded health care plan, in accordance with the Obama administration's proposal, only 51.8 percent of the estimated 1.4 million Wal-Mart employees currently have taken the mega-
retailer up on their health care offer.
"It's too expensive," said 20-year Wal-Mart department manager Jill Terry in an interview today. "It was costing me $400 a month and on my salary, I couldn't do it. Most people who work here can't afford it."
In a letter to President Barack Obama, Bentonville-based Wal-Mart joined with Service Employees International Union, which has more than a million members, and the Center for American Progress in support of a plan to require employers to foot the bill for medical insurance.
"We are for shared responsibility," wrote Wal-Mart CEO Mike Duke. "Not every business can make the same contribution, but everyone must make some contribution."Terry, who works as a manager for the retailer at their number one store in Rogers, AR., said she opted instead for the insurance offered by her husband's place of work because it was 10 times cheaper than the plan offered by Wal-Mart.
foodconsumer.org - Wal-Mart's employee healthcare plan "too expensive"
There’s no doubt that affordable healthcare is a hot topic these days. From Washington, D.C. to rural America to every city across the country, Americans need affordable healthcare options. In fact, according to President Obama, healthcare reform could have a major impact on the economy as a whole but only if we act now.
ReplyDeleteCongress intends to create a healthcare reform bill to bring to the floor in July. President Obama urges the process on, believing that if it isn't tackled this year, it won't get done at all.
There is a big price tag on healthcare reform, however. Transforming the system could cost as much as $1 trillion dollars! Many Republicans in Congress are fighting hard against any type of reform that includes government programs providing more medical insurance options than they currently do through Medicare and Medicaid..This type of public program could cost the government far more than it will save anyone. There is also discussion going on as to whether healthcare reforms will be paid for through higher taxes or through cutting existing programs.
On June 17, 2009, Congress met to consider the President’s healthcare reform bill and many are worried that things are moving too fast to make smart decisions. The costs of the proposed program haven’t even been determined and Sen. Michael Enzi (R) of Wyoming wonders how a bill can be discussed and amended without any understanding of the costs "This bill costs too much, covers too few and will force about 10 million people to have to lose their employer-provided coverage." Enzi believes the current bill will not help the economy but would actually make things worse. "We need a bill that won't destroy the economy.”
Instead of looking at a public healthcare program that can wind up costing billions or even trillions of dollars, it makes sense to work with the insurance companies to find affordable healthcare solutions now. By letting states, small businesses and other people groups band together to access lower cost medical insurance to people who aren’t currently eligible for group health insurance, more Americans could find affordable healthcare insurance now instead of waiting for the government to take on healthcare like some other nations have. Government provided healthcare does not encourage the high quality health care that Americans deserve and need.
Another proposed solution that could save the government money and help more Americans access affordable healthcare of their choice would allow those eligible for Medicare to receive an equivalent benefit they could use toward any private health insurance policy they choose. These types of solutions toward affordable healthcare could save both the government and the citizens save money on their medical insurance without sacrificing quality care and choice. Congress could do well to consider all proposals- and their costs- before rushing into a decision that could wind up costing billions- even trillions- of dollars without giving Americans the best choices in medical insurance available.
Healthcare reform proposed by the Federal Government may actually eliminate affordable medical insurance from the private sector entirely.
ReplyDeleteWhile publicly funded healthcare may seem to create affordable medical insurance for more Americans, it may actually create a bigger problem.
Private medical insurance is not the enemy of affordable healthcare in the US. In fact, if the federal government creates another public healthcare program, it will ultimately raise the costs of private medical insurance to exorbitant levels. While the idea of expanded public healthcare may seem to be the answer to affordable medical insurance, it could be the end of private insurance altogether. Medicare and Medicaid, the two public health programs currently in effect, cost private insurance companies - and by extension, Americans paying premiums for private insurance- $88 billion in 2007, according to the consulting group Milliman, Inc. In fact, the average family of four with private medical insurance saw their premiums increase $1500 because of public programs. In California alone, that represents nearly 10% of every premium dollar paid.
ReplyDeleteThe problem comes because Medicare and Medicaid pay as much as 15% to 30% less than private insurance companies on every doctor and hospital bill. Because the doctors and hospitals aren't willing or able to accept this much loss, they push those losses onto private insurance companies, who, in turn, shift the loss to the consumer through higher premiums.
Private insurance companies must not only cover their costs and earn a profit; they also need to maintain a reserve of cash to pay out claims. If a new public health care program is developed and then pays medical costs at a reduced rate like the current systems do, it means there will be an increase in expense shifted onto private insurance to make up the difference. This increased cost will need to be offset through higher premiums for the people covered under private medical insurance plans. As those who have private insurance become forced to pay increasingly higher premiums, the number of Americans who no longer find private insurance an affordable health coverage option will increase. Those people will then need to turn to the newly formed public healthcare program and will then become part of the increased costs passed on to private insurance by underpaid doctors and hospitals.
ReplyDeleteAs more unpaid costs from private health insurance continue to be pushed into premium prices and more people become unable to pay those premiums, eventually private health insurance will be completely unable to compete with public programs and will face the inability to stay in business. Affordable healthcare in the private sector will become impossible to find.
Sen. Bob Casey, one of the sponsors of the resolution had this to say regarding health care reform and the proposed resolution, "Improving our health care system to increase quality and improving affordability is the ultimate and long-neglected goal. A public option can help this effort by increasing competition in the market and maintaining patient choice."
ReplyDeleteThe sponsors of the resolution believe a public medical insurance option is necessary to offer the most possible choices for Americans. Private health insurance companies would be pushed into keeping their rates competitive with the public health option. In the highly-regulated insurance industry, health insurers have to publish the amounts that they pay in claims per dollar premium collected. This is called the loss ratio. Standardizing the loss ratio for all insurers would help control rates, which would be a step toward keeping health insurance costs in check. The net effect would be a stabilization in healthcare costs and broader coverage nationwide; widespread health insurance coverage would ultimately result in lower healthcare expenses for all.
Market-based policies are more cost effective for the government - and therefore the taxpayers- than publicly funded healthcare. According to the Kaiser Commission on Medicaid and the Uninsured, January 2005, if every uninsured individual was covered by a government program such as Medicaid, the cost to the federal and state governments is approximately $2000 each.
ReplyDeleteIf, however, low-income and modest-income Americans could purchase their own health insurance by utilizing a $1000 tax credit, the federal government would save 50% of that money. With over 45 million uninsured Americans, that savings would be substantial indeed.
Market-based insurance would not only be more affordable health coverage, it would also provide consumers with more choice. Because savings come from a tax credit, the option to choose insurance companies, policies and doctors is left to the person who purchases the insurance, not a group of politicians. Health insurance needs vary widely from one individual to the next and having the ability to choose the options that work best for an individual's circumstances is fundamental to quality health care.
Several different market-based solutions could help low and modest-income individuals and families find affordable health coverage. Tax credits, tax deductions, health savings accounts and high-risk pools are all market-based options to make affordable medical insurance a reality for uninsured people who are working, but cannot afford medical insurance.
ReplyDeleteTax credits allow people to keep more of their income on a monthly basis in their pay so the can purchase coverage. Because tax credits enable people to make their own choices of providers, plans and doctors, they are considered to be a preferred market-based solution for affordable health coverage. Tax credits enable working people to pay for their own health insurance without having to fall back on Medicare or other government health programs. Because a tax credit would cost only half the amount of Medicare per individual, the burden on all taxpayers is also reduced, saving everyone money.
Private health insurance can be affordable health coverage for every working American. By working with market-based solutions, health care reform can be a workable solution to the millions of Americans living in fear of a medical crisis because they have no medical insurance.