Douglas Plan for Affordable Health Care: Drive Up the Rates
April 2, 2008 Press Statement:
Vermonters need to know that when it comes to health care the so-called affordability agenda is dead. While talking a good game, my opponent has done nothing to lower the cost of health care. In fact, while the current governor heads out to cut ribbons across Vermont, health costs will grow higher making hard times even harder for many Vermonters, including the most vulnerable.
Here is what I see happening:
- Health care premiums go up for people with private insurance, far outpacing growth in wages.
- Hospital costs continue to climb.
- After not even a full year, Catamount premiums go up.
- Medicaid premiums go up forcing people to drop off these programs, resulting in more uninsured.
- With more uninsured we see more costs shifted onto those who pay for insurance.
- Despite a lot of rhetoric otherwise, taxes increase as the cost of health care increases.
Vermonters spend a lot more on health care now then when my opponent took office. Spending is up from $2.8 billion in 2002 to (a projected) $4.6 billion this year. It has grown by the size of Vermont’s entire state budget. Under the watch of Governor Affordability, Vermonters spend $12 million a day on health care with no end in sight.
An average family pays $13,000 a year for insurance before deductibles and out of pocket expenses raise it to $15,000, eating up over 25% of the average family’s income.
And while health costs go up 10% or more a year, wages and income do not. Ironically, my opponent and his family will get the health care they need this year along with a hefty pay raise bringing him into the elite of Vermonters making over $150,000 a year.
Something is seriously wrong here. The Legislature’s health care consultant, among others, has said we can cover all Vermonters and spend less if we are willing to look at new ways of paying for health care. It is the most over looked idea to come out of Montpelier in a long time.
Vermonters are suffering. Families are struggling. Cutting ribbons will not stop the pain. We can do better. In fact, opinion polls, surveys, testimony, and kitchen table conversation show Vermonters are ready to look at real solutions to our health care crisis.
As Governor I will listen to and work with Vermonters to get the job done. I imagine it will take two or three years, but we’ll get there. The longer we wait the worse it will be.
To begin, I would travel the state for a series of public discussions. We have to get together and decide what our Vermont-based solution will look like. We will talk about the options openly and take nothing off the table. But we must build from certain principles, including:
- One insurance program, so all of us, the CEO, the file clerk, the Governor, the plumber and the child care worker get the same care. No one is left out. I think of it as the Vermont Self Insurance Plan.
- Health care is not tied to our job and losing a job does not mean losing health care.
- Everyone pays based on our ability, since we already pay for all our health care in Vermont, lets do it fairly.
- We need to lower overall costs and lessen the burden on families and businesses.
- In any system, costs will increase over time, but they should be reasonable and predictable.
Catchy slogans, and press releases from a well-oiled press staff do not make health care affordable. In fact, despite a lot of talk about affordability, we’ve seen health care costs nearly double since my opponent took over from Gov. Dean. We can do better. I look forward to the challenge of crafting a Vermont plan with Vermonters that gets a handle on cost and delivers first-class care to everyone.
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FOR IMMEDIATE RELEASE: April 2, 2008
CONTACT: Meg Brook - 802-343-2604
April 2nd, 2008 at 11:47 pm
Dear Sir,
Before you blame Governor Douglas for the alleged health care crisis in Vermont please consider the following:
In the early 1990’s the Vermont legislature imposed Guaranteed Issue and Community Rating on health insurance companies serving individual and group markets in Vermont. This first step toward a system where everyone pays the same premiums - regardless of life style choices - has proven detrimental to Vermont’s health care system.
Vermont had 33 competitive insurance companies in the early 1990s. Since then most have left Vermont because of the hostile business environment our liberal legislature created. And, a large number of Vermonters now choose to have no insurance at all when faced with skyrocketing premiums.
Our legislature’s over-regulation has resulted in Vermont’s insured population substantially trailing national averages, created premiums in Vermont that are up to five times those of similar rural states, and brought Vermont to second place in the nation for the percentage of residents on Medicaid.
Instead of enacting more regulation and government involvement perhaps our legislature should remove existing hurdles for private insurers and actively invite them to do business in Vermont.
People like you created this problem and now you blame everyone else. We need LESS GOVERNMENT. You’re part of the problem - not part of the solution.
April 5th, 2008 at 6:23 pm
Sensible voter - are you saying we shouldn’t give health care to everyone? Just those who are healthy? It’s true community rating makes the costs of health care more, but isn’t the real point that everyone, at some point in time, gets sick and needs care? I think that is central to this discussion. As Pollina says, we’re already paying for it in VT. Let’s admit that, end the cost share, pay for it fairly and guarantee that everyone has the coverage they need.
I like the idea of less government. But I prefer the idea of reliable health care at a more affordable rate.