WrongReform.com             The Facts About HR3200
The Facts (as I understand them)

If you would like to skip past my synopsis and dive right into my point by point analysis of the bill, go ahead. Just be aware that it takes a while to put it all together into a coherent picture.

Let's start with some simple facts. If you are unwilling to at least consider these in the sake of debate, stop now. All of this will be wasted on you. These are easily confirmed if you are able to look beyond partisan rhetoric and/or whatever philosophical ideals you may have about capitalism. Figures never lie, but liars often figure.

1. The average annual after tax profit (as a percentage of premium) for health insurance companies is in the range between 2%-5%. This is lower than the nationwide average for all industries and sectors. It can be confirmed with a detailed search of Morningstar or any other major stock tracking service.

2. Premium rates are NOT a significant function of the size of the risk pool. Premiums are driven by the actual coverage provided, especially pre-existing conditions and selective or guarantee issue. The premium deduction on your paycheck does NOT accurately reflect the premium paid by your employer. Currently, employers pay a minimum of 50% of your actual premium, and most pay more. They usually do not pay for your dependents, which is why that premium is so high (to you).

3. Guarantee issue (employer group) coverage is typically between 400%-500% more expensive than identical individual coverage from the same company. This is a result of the company's ability to selectively reject some high risk individuals. No company can possibly offer guarantee issue coverage at anything less than the current group rates. Anyone who says otherwise is either a liar or a fool. It is just not mathematically possible.

Okay, my take on the bill, fast and dirty.

HR3200 is nothing less than a poorly veiled attempt to tear down the entire health care system as we know it and replace it with the foundation for socialized medicine. Taken singly, many of the features seem innocuous. Taken as a whole, my analysis will stand up to any challenge.

The first section of the bill creates an environment in which it will be almost impossible for insurance companies to compete, while at the same time injecting a government subsidized "competitor" plan with the option to ignore many of the private sector rules. Between the "rules" and the Public Option, private major medical insurance will vanish very quickly.

The bill financially encourages nearly all employers to stop offering insurance to employees. This is driven by the loss of deductibility for health premiums at the same time those premiums are dramatically increasing as a direct result of the mandates in this bill.

The first section also proves beyond a doubt that you CANNOT keep the insurance plan you have today. Within 5 years of the effective date, all private and employer provided insurance as you know it will be gone.

The bill creates several new bureaucracies that will take complete control of not only the health insurance marketplace, but the health care providers market as well. Make no mistake, this bill is bold and brash. It takes no prisoners.

Part of what those bureaucracies will do is lower the "insurance" payments to health care providers to current Medicare A and B levels. That's right. Doctors will be taking a massive pay cut.

And finally, the bill allocates $88.7 BILLION to an entirely new National Health Service Corps, which includes the Public Health Workforce Corps. If the titles haven't already tipped you off, these will be massive federal agencies employing Doctors, Nurses, technicians and all of the folks you need to operate a health care network or system. Why would the federal government need such an agency if it intends to leave your insurance and your Doctor alone? This new Corps is the foundation organization intended to take the place of our current system.

There you have it. While publicly assuring us that everything will be "the same, only better", the reality of this bill is the deliberate destruction of our current health care system. The reality is a replacement with a program that can quickly be converted to a single payer, government controlled monolithic bureaucracy.

Every one of my assertions is proven by simply reading the bill. I have highlighted specific passages and inserted red and yellow tags that will open up my comments when double clicked. Read ALL of them.