Conservatives and health care coverage

Don’t drink and drive, don’t mix alcohol with medication. These are two well accepted things to avoid for your health.

Here is another, don’t let conservative politicians screw with your health insurance or Medicare.

This is why the US has the mind boggling health care system it does.

Their ideas in no way consider the reality of receiving and paying for health care or the way individuals view both or that health care is not a commodity like any other.

Leaving portions of the health care system to states is also not a good idea as demonstrated by the variables in Medicaid based solely on where a person lives.

Beware!

Republican health policy proposals seem to fall into two categories: Scalpels and sledgehammers. There are more modest ideas like promoting Health Savings Accounts or greater price transparency that can be debated on the merits, but they generally sound good to voters and don’t present big targets to Democrats. Then there are the hugely controversial ideas like Medicare premium support or a Medicaid/Affordable Care Act (ACA) block grant or weakening pre-x coverage guarantees. They work just the other way around, giving Democrats targets to campaign on and scare voters about.

The Republican Study Committee has gone there, to the sledgehammer ideas. It’s not surprising that they have made the proposals they have made; most are familiar and have been made before, and the Study Committee regularly proposes very conservative ideas. I have no comment here on the merits of the proposals. The question for political analysis is why raise these ideas now, at the beginning of a super-heated election season? And how will former President Donald Trump respond and what will the political impact be?

Here are some of the third rails the Study Committee’s plan touches:

  • The plan includes a premium support or voucher-like system for Medicare, opening Republicans up, again, to the charge that they will destroy the traditional Medicare program.
  • The plan would weaken protections for people with pre-existing conditions, replacing many of the ACA’s provisions with a pool of funds states can use for that purpose. There are arguments to be made about how effective state pools can be, but politically, the plan is vulnerable to the charge that it undermines protections for people with pre-existing conditions.
  • While the plan does not repeal the ACA, it combines ACA subsidies with a complicated five block grant scheme to cap and cut Medicaid. That’s a political double whammy: Replacing current ACA coverage (at its high point with over 20 million in the marketplaces) and ending the guarantee of coverage for 85 million people on Medicaid while also handing the program to the states with much less federal funding.
  • And the plan would end popular Medicare drug price negotiation and the cap on monthly insulin costs. And on out-of-pocket Medicare drug costs.

There are well known arguments for and against each of these proposals as well as underlying philosophical debates about the role of government and markets in health care. Many very liberal ideas are also controversial, like Medicare for All. They, however, are not being advanced in Congress or the campaign trail right now. We have analyzed all of these plans at KFF as they have morphed over the years.

What is surprising is putting out a slate of the most volatile health policy ideas in the middle of an election season (see “Americans Really Don’t Like Trump’s Health-Care Plans”). It’s the Republican equivalent of a Democratic study committee announcing a plan to federalize Medicaid, cover all undocumented people, eliminate Medicare Advantage, and regulate hospital rates. On the other hand, it won’t matter in the election if Republican candidates don’t campaign on the ideas and Trump ignores them, and Democratic candidates don’t attack them.

Conservative Republicans have always believed in the goal of reducing federal health spending and the role of the federal government in health and may simply want to continue to advance these objectives irrespective of political timing or potential political consequences. They consider ACA subsidies inefficient—and this is a fundamental difference with liberals—have always viewed Medicaid as part of the welfare state they want to shrink rather than a government insurance program for lower-income Americans that plays a vital role in the fragmented continuum of coverage we have in our country.

Drew Altman, Kaiser Family Foundation.

10 comments

  1. Rodger, have some faith–just now the Feds have messed up FAFSA, the college loan process where they send tax information and other vital material to colleges for student loan eligibility. Only a cynic would assume giving them total control over health care would be a bad idea.

    Rodger, ever heard of a federal worker or two fired because of job ineptness? You think anyone in the Dept. of Ed. will suffer because of the mess they just made?

    Like you I have no good answer but I know incompetence when I see it and giving more bureaucrats more power is not the road I want to take.

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    1. And yet Americans complain loudly about how their private insurance works, what it pays, how it denies claims, manages care, what it costs.

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      1. Can see your point but solutions/thoughts to this I do not have. I wonder what hospitals and doctors think of this?

        heard about a Brit resident whose mother had a heart attack–waited on a gurney in the hall of a hospital in Brighton for hours with a multitude of people–it was a mess–once she got upstairs she had world class care–she is now fine.

        we should be able to combine private and public–I think the Germans do it–we shall see going forward.

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  2. I don’t have a good answer to our health care problems, but I’m sure giving all power to the Federal government to manage health care 100% is nothing but an accident looking for a place to happen!

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    1. I would not want government running health care as in the UK, but I see no better solution for all Americans other than a form of Medicare for All replacing every other form of insurance. One large pool is the only way to fairly allocate costs and assure coverage.

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      1. So your answer is to throw out what you say doesn’t work for something else doesn’t work? In what world does that make any sense?

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  3. The Federal Government should have no role in healthcare, as the Founding Fathers intended. ACA and Medicare are just parts of the welfare state, and we need to be focusing on the deficit right now. I support President Trump because he will abolish the ACA, cut medicare, and cut social security. We should let the free market sort healthcare out. Health insurance should not be tied to employment either because it prevents free movement of labor.

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