There are five points to the plan.
First, the plan is administered by the states using their already existing Departments of Insurance. No need to create eighty plus new government bureaucracies, as proposed in House and Senate bills. The already existing National Association of Insurance Commissioners (NAIC) will create uniform regulations to govern health insurance programs. Exceptions would be allowed in certain states.
Second, coverage will be required for all, phased in over a four year period. Individuals would receive tax incentives to help pay the cost. Those eligible for group insurance would be required to join the plan and employers would pay a portion of the premium. Tax credits would be given to employers according to a schedule. A “basic” low cost plan would be available for low income households.
Third, pre-existing medical conditions would be covered. Insurance plans could not stop payments because of use of the plans.
Fourth, costs would be reduced by: Reforming medical malpractice lawsuits, establishing peer approved practice protocols to reduce unnecessary tests, allowing incentives to be paid to those who uncover Medicare and Medicaid fraud, encouraging hospitals to review management of their operations and finances (share cost saving ideas) and encouraging competition between providers of medical devices. Further cost reductions can be achieved by providing incentives for the free market to expand its role. For example, open low cost medical clinics (for minor illnesses) in stores like Wal-Mart, Sears, and drug stores. This has already been started by some stores that offer very low prices for generic drugs.
Fifth, achieve massive savings from the Federal government by reducing its size. As a start, six to eight of the Departments of the U.S. Government will be eliminated and merged into existing Departments. The funds saved would be put into a separate account to be used to help defray the costs of health care. Likewise all government programs would be reviewed with an eye to eliminate or greatly reduce costs during this time of economic crisis. If we are to provide quality health care for all our citizens, we have got to start making serious decisions.
Editors note: It has been brought to our attention that the word "mandated" appears in several parts of
the plan and the comparison that follows. The authors wish you to know that there are several options
available to avoid these "mandates". They will be discussed and input sought prior to adoption of the