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U.S. Set to Sponsor Health Insurance
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| Parent(s) |
Issue
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| Contributor | RP |
| Last Edited | RP Oct 27, 2012 06:00pm |
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| Category | Strategy |
| Author | ROBERT PEAR |
| Media | Newspaper - New York Times |
| News Date | Saturday, October 27, 2012 11:00:00 PM UTC0:0 |
| Description | The Obama administration will soon take on a new role as the sponsor of at least two nationwide health insurance plans to be operated under contract with the federal government and offered to consumers in every state.
These multistate plans were included in President Obama’s health care law as a substitute for a pure government-run health insurance program — the public option sought by many liberal Democrats and reviled by Republicans. Supporters of the national plans say they will increase competition in state health insurance markets, many of which are dominated by a handful of companies.
Under the Affordable Care Act, at least one of the nationwide plans must be offered by a nonprofit entity. Insurance experts see an obvious candidate for that role: the Government Employees Health Association, a nonprofit group that covers more than 900,000 federal employees, retirees and dependents, making it the second-largest plan for federal workers, after the Blue Cross and Blue Shield program.
Robert E. Moffit, a senior fellow at the conservative Heritage Foundation, said he worried that “the nationwide health plans, operating under terms and conditions set by the federal government, will become the robust public option that liberals always wanted.” |
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