HCAN: Public Option Must Be ‘Operating Nationally When The Exchanges Start’

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The influential reform campaign Health Care for America Now says thanks but no thanks to the idea of trading away the public option for a system modeled on the one that covers members of Congress.

The statement declares that “a public option must be publicly established and accountable and operating nationally when the Exchanges start. Using nonprofits to replace a public option won’t work.”

Note that HCAN does not address the prospect of a Medicare buy-in option for people aged 55-64, so this may not be the final word from the group. But it’s an early sign that they don’t like what they’re hearing.

The full statement is available after the jump.

(Additional reporting by Brian Beutler.)

HCAN Statement on FEHBP-style
Nonprofits as “Compromise”

Washington, DC – In response to news accounts that one possible compromise on the public option is having national nonprofit insurance plans regulated under the Office of Personnel Management, similar to the Federal Employees Health Benefit Plan, Health Care for America Now (HCAN) put out the following statement on behalf of its Steering Committee:

“To meet the goals of lowering health care costs and keeping insurance companies honest, a public option must be publicly established and accountable and operating nationally when the Exchanges start. Using nonprofits to replace a public option won’t work. In fact, with half of people in private insurance currently enrolled in nonprofit plans, they are part of the problem.

As for FEHBP, it too has failed to control health care costs, doing just as badly as private insurance and with much higher costs than Medicare. HCAN urges the Senate to enact legislation that includes a national public health insurance option, which is now part of the legislation introduced by Majority Leader Reid, H.R. 3590.

We have said from day one that we believe the best way to create competition, lower prices, and ensure Americans get the quality, affordable health care they deserve is for Congress to pass comprehensive health care reform including the choice of a public health insurance option.”

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