Health and Human Services Secretary Kathleen Sebelius has emerged as the person to watch as the Obama administration scrambles to implement health reform. The health care czarina’s words and silences offer clues about the way health reform will play out for millions of Americans. The rules, the regulations, and the compromises with health care stakeholders will determine the ultimate value of the reforms. What Sebelius said during the long reform debate usually signaled what was likely to happen; when she equivocated early on about the public plan, we knew Obama was prepared to junk that option. Campaign Desk will be watching what the secretary says, with an eye toward encouraging the press to do the same.
In a speech last week at the National Press Club, Health and Human Services secretary Kathleen Sebelius said that her process for implementing the new health reform law would be understandable to consumers: “As soon as we know something, we’re going to tell you,” the AP reported. Politico noted that the secretary said her department would become a “nationwide health insurance reform help desk.” Imagine fifteen million people calling Washington to ask whether they should buy Aetna’s or WellPoint’s policy.
It was kind of a blah-blah speech, and Kent Hoover, Washington bureau chief for Bizjournals, as much as said so, telling his readers “it was not a memorable speech” that was “delivered in a flat, Midwestern monotone.” According to Hoover, though, help desks weren’t really the big news. “The most memorable moment came during the question and answer portion of the address,” he wrote, when Madame Secretary strayed off message into controversial terrain. A questioner asked if she thought the age for Medicare eligibility should be raised to seventy. It’s currently sixty-five. That’s a super important question that will affect millions of Medicare beneficiaries in the years to come, and one that journalists haven’t tackled much.
Sebelius began her answer by talking about the deficit commission which the president has appointed to recommend changes to Medicare and Social Security—the so-called entitlements that many commission members claim are causing the nation’s financial distress and must be adjusted. Hoover reported that she “came awfully close to touching the third rail of politics,” noting that the secretary said that eligibility ages and benefits under those programs “will be a topic that will be robustly debated and discussed.” She added: “I think it is very appropriate. Everything should be looked at.”
Hoover interpreted the secretary’s response this way:
That’s the right answer from a policy perspective, but it could cause political problems for her boss. A headline writer might paraphrase her response as follows: “Obama open to raising retirement age; Medicare benefits could be cut.
That is indeed what journalists on the health and social welfare beats should be finding out. What is the administration thinking? What are they signaling? Is this another way to hasten the privatization of Medicare? What does the public think, especially people in their fifties who might be affected by a delay in benefit eligibility? Eventually, they might be able to buy insurance in the Exchanges that will be set up; if they can afford it, that could hold them over until Medicare kicks in. But they are also the ones who will pay more for their coverage—perhaps a lot more. Refresher here: The new health law allows insurers to charge older people three times more for coverage than they charge a younger person.
What the public thinks is important. If the press doesn’t keep on top of this, it may be easy to slip this one through without much outcry. The National Association of Insurance Commissioners (NAIC) recently surveyed consumers to test their knowledge of insurance, not a bad thing to do considering that they are going to be called upon to navigate a very complicated marketplace. The NAIC found that forty percent of Americans do not know the age when most people become eligible for Medicare (it’s sixty-five).
One thing we know from watching politicians is that they like to avoid the controversial stuff. Believe me, touching Medicare and Social Security benefits is controversial. Since the press thrives on controversy, this is one story it should examine.
Hi, just want to mention that we've just heard that as of 2011 we will no longer have lifetime maximums on our health insurance policies AND in 2011 the full value of our policies will be stated on our paystubs. To me this is the first significant real-life impact of the "historic" legislation (they mentioned that too, the historic part). I was unaware of the requirement for paystub reporting and I think that's very important. I will use that information to compare my coverage against the 4.75% rate for Medicare that's been suggested in a single payer/hr 676 situation.
This cost sheet from Unions for Single Payer was the first and only information I've seen that attempts to clearly explain/compare the full costs of healthcare for regular people: http://unionsforsinglepayer.org/files/other/2010-03/Modified_Cost_Sheet-12-13-09.doc. Since I did not know the full value of my premium, I could only guesstimate. So now I will be able to make a better informed comparison.
As of this moment, I feel that ground has been set for a genuine, information-based debate on health reform. I can hardly believe it.
#1 Posted by MB, CJR on Fri 16 Apr 2010 at 03:30 PM
I've just read your post, OMG. Really? Upward eligibility? If anything the sentiment is to bring it down to the late 50-somethings, even among some anti-Obamacare/anti-singlepayer types at a recent holiday dinner. deep sigh.
#2 Posted by MB, CJR on Fri 16 Apr 2010 at 03:49 PM
Politicians may feel that there is nothing wrong with increasing retirement age to 70 or even higher, but reality may intrude. The reason that jobs are getting harder and harder to find for most Americans are many, but they are impossible to deny.
One is new labor saving technology. New technology creates new high wage jobs, but they can easily be created on the other side f the planet if we don't focus on getting them (and why would American companies do that when they can make more by opening factories in Asia?)
There is a huge amount of talent here but we are so focused on making more money that we are ignoring it. For example, I read an article yesterday about the DARPA 2007 Urban Challenge, a race for autonomous (driverless) vehicles in which teams and their robotic vehicles navigate a course - simulating a city's streets. Basically, a very sizeable investment in time and energy is being devoted to developing robotic vehicles. They are almost there. Soon, we will be able to increase the capacity of ur highways greatly by switching to computer control.
I don't know how many people follow the field of computer science, but more should., because that is where the jobs in the future will be. We are increasing productivity tremendously for companies.
And many of the jobs, unskilled or skilled, jobs that people now take for granted will be no more. Without the base, without the training to do modern work, a substantial percentage of our workforce will gradually become unemployable, not because they are lazy or stupid, simply because they don't have the skills or mobility to gain employment in a shrinking job market. Within 50 years, we will have machines as smart as people. Nobody disputes that.
What will we do? Its sobering to see that despite the huge numbers of people who are out of work, in many states welfare caseloads have not risen. What that tells me is that they are creating obstacles that are leaving millions of people out in the cold.
What's not mentioned is that we got where we are today because of the generous postwar investments made in people. If the world forsakes putting the public first then we will soon end up back in the same mess we found ourselves in with World War II, which was caused by the clashes between various groups, who had lost touch with their own humanity and compassion and replaced them with a worship of power and greed.
We are playing with fire to pretend all is well.
#3 Posted by Frank D, CJR on Fri 16 Apr 2010 at 06:48 PM