Supports A single payer, Medicare for All Universal Health Care System (HR 676)

The Hunger Action Network of NYS joined today in demonstrations in Albany and New York City calling for the elimination of private health insurance. The groups support HR 676, the federal single payer bill, also known as an expanded and improved Medicare for All.. They also want the state government, which is presently studying a universal health care system for NY, to support a single payer system for NY.

“Private health insurance is a fundamental reason why the American health care system costs so much money yet performs much worse than the other industrial countries while failing to cover more than 50 million Americans. Private health insurance eats up as much as 30 cents of every health care dollar to pay for their profits, administrative and marketing costs, while adding virtually nothing of value to our health care system. Allowing private insurance companies to increase their profits by denying access to health care is inconsistent will the goal of a quality, affordable health care system for all,” said Mark Dunlea, Executive Director of Hunger Action Network of NYS.

The groups noted that the SICKO movie by Michael Moore highlighted the problems with health insurance rather than the issue of lack of insurance. Medical bills is now the biggest reason in NY for personal bankruptcy, yet most of those bankrupted had health insurance.

Information about the national day of protests can be found at http://www.healthcare-now.org/june19.html and http://www.guaranteedhealthcare.org/blog.

“Many elected officials, including those in the Paterson administration, act as if health insurance is a solution to our health care crisis rather than admitting that insurance is a core part of the problem. The new fad among politicians of advocating mandates that individuals have to purchase insurance, such as Massachusetts did, allows them to tell voters they support universal health care while in fact primarily expanding the customer base for a highly profitable industry. The insurance industry happily rewards supporter of such insurance mandates with campaign contributions,” noted Dunlea.

HR 676 (Conyers) has 90 cosponsors, including NY Congressional representatives Engel, Hinchey, Maloney, McNulty, Nader, Owens, Rangel, Serrano, Towns, Weiner and Velazquez. It is estimated that a single payer national health care program could save as much as $350 billion a year (New England Journal of Medicine, 2003) by eliminating the system of private health insurance.  A recent national survey by Indiana University of 2,193 doctors found a solid majority, almost 60 percent, supporting government legislation to establish national health insurance (NHI) -- a 10 percent increase in support since 2002. (32% oppose it, 9% are neutral)

While the United States has very skilled health providers, our health care system performs poorly, with its overall quality only ranked 37th by the World Health Organization.  US spending on health care is now over 2.1 trillion dollars – nearly $7,000 per person. This is more than double the world average of $2,571. This amounts to a whopping 15.5% of our GNP on health care – far more than any other country – which puts our businesses at a competitive disadvantage in the international marketplace.

Among the hundreds of groups in NY supporting HR 676 are the Physicians for a National Health Program, New York State Nurses Association, NYS Academy of Family Physicians, Healthcare Now, Tompkins County Health Care Task Force, Hunger Action Network of NYS, Healthcare Work Group (Otsego, Delaware & Chenango Counties). Presbyterian Church USA. United Auto Workers, Albany Central Federation of Labor, AFSMCE District Council 37, Professional Staff Congress-CUNY, CWA Local 1180, United University Professions (Local 2190 AFT); Latinos for National Health Insurance and League of Women Voters of NYS.

Single Payer is defined as financing health care expenditures for the entire population through a single source, presumably the government, with funds collected through progressive taxation of citizens and businesses.

The groups are also urging the state to adopt a single payer system as soon as possible. Single payer legislation (A7354 Gottfried / S3107 Schneiderman) is pending in both the Assembly and Senate. A majority of Assembly members (85) are co-sponsors of the single payer bill.

Private health insurance and their bureaucracy also impose significant costs throughout the rest of the health care system. For instance, a doctor on average has to hire 2.5 staff people to fill out insurance forms and to try to figure out what medical services are covered by the various insurance programs.

Private insurance excludes the sick. Private Insurance companies make more money by covering those who are healthy and likely to remain so. They invariably exclude pre-existing medical conditions

Private health insurance also reduces choice. Changing jobs or employment status often requires people to change their health providers. Private health insurance unduly restricts what doctors and other medical providers consumers can use. Insurance companies require prior approval for large numbers of medically-necessary tests and procedures, adding needless expense, delay, and stress for doctors and hospitals. Prior approval is often required even in emergency situations when it is physically difficult or impossible to obtain such approval. Insurance companies deny access to care on the grounds that drugs or procedures are experimental, even when there is good evidence that the drug or procedure is potentially life-saving. Insurance companies deny coverage for tests or treatments without any review by the responsible Medical Director or other medically-qualified person on their staff.

Private health insurance also imposes high costs for workers and employers. The annual premium that a health insurer charges an employer for a health plan covering a family of four averaged $11,500 in 2006. As costs rise, employers feel pressure to pass on more of the costs to their employees.  Workers contributed nearly $3,000 each in 2006, or 10 percent more than they did in 2005. The annual premiums for family coverage totally eclipsed the gross earnings for a full-time, minimum-wage worker ($10,712). Health insurance expenses are the fastest growing cost component for employers. Health insurance costs will overtake profits by 2008.