The upcoming US Presidential elections has led to a lot of promises and proposals by the two candidates. One of these is their plan to change the way Americans get health insurance. NEWSWEEK’s Mary Carmichael has written a comprehensive article, consulting with Katherine Swartz, a professor of health policy and economics at Harvard. In gist, here’s her take on the two different plans:
McCain’s plan: to take away the tax break workers get on health insurance at their jobs, and give people who buy their own insurance $2,500 ($5,000 for families) in tax credits.
Their prediction: Low-income people would have a hard time getting affordable insurance on their own. In the long run, employers would probably stop offering health insurance, and more people would end up uninsured than there are now.
Obama’s plan: An insurance exchange that looks like the Health Connector used in Massachussets. Every plan would have a minimum set of benefits, and you would get a subsidy if your income is below the threshold.
Their prediction: The total cost will be more than the estimate. His requiring insurers to cover pre-existing conditions would probably raise premiums. Although children and more people would be covered than there is now, some adults will continue to be uninsured.