119 Million Americans Want a Public Health Option -- Why Aren't Politicians Listening?

By Robert Parry, Consortium News. Posted June 8, 2009.

President Barack Obama, whose mother had to fight with her health insurance company while dying of cancer, says he continues to favor including a public option in the bill as necessary to keep the insurance industry honest. Sen. Ted Kennedy, chairman of the Health and Education Committee which also has jurisdiction over the bill, also favors a strong public plan.

However, there is the additional fact that executives from health insurance companies and related industries are major campaign contributors to members of Congress on both sides of the aisle.

For instance, since 2005, Grassley's various political action committees have collected nearly $1.3 million in donations from the industries related to the health insurance debate, according to OpenSecrets.org. Grassley's top four donor groups were Health ($411,956); Insurance ($307,348); Pharmaceuticals ($233,850); and Hospitals ($197,137). Eighth on Grassley's donor list were HMOs at $130,684.

On the other hand, the health insurance industry appears about as popular with Americans as the tobacco industry, with both considered highly hazardous to your health. Except that Americans can choose not to smoke, while they run enormous risks for themselves and their families if they don't have some form of health insurance.

Health insurance companies do negotiate rates with hospitals and doctors that are far below what is charged to people who don't have insurance, sometimes as low as one-tenth what the uninsured patient might be charged.

These disparities, in effect, force many Americans to sign up for private insurance even if the insurance fees are excessive, padded with handsome profits for investors and unproductive bureaucratic costs (including investigations into whether people can be denied payments because of undisclosed "preexisting conditions").

If the health insurance industry had its way, Congress would produce a bill that simply required Americans (or their employers) to buy health insurance from private industry. That way, the government would compel citizens to become customers while denying them a choice of the public plan.

To avoid such an outcome, proponents of the public option – including those 119 million Americans who are ready to sign up – will have to overcome opposition from Republicans and some Democrats who are determined to protect the interests of the private health insurance industry.

See more stories tagged with: health, republicans, obama, medicare, iowa, chuck grassley, health care industry, public option, heath insurance

Robert Parry's new book is Secrecy & Privilege: Rise of the Bush Dynasty from Watergate to Iraq."

Liked this story? Get top stories in your inbox each week from Health and Wellness! Sign up now »