Archive by Month - November, 2010

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First Legal Challenge of Healthcare Reform Fails

Tuesday, November 9th, 2010

Image: Collection of the Supreme Court of the United States

A rare bright spot for the Obama administration this past week: a legal review of the healthcare reform law was rejected by the U.S. Supreme Court.

Granted, it wasn’t necessarily a referendum on the merits (or lack thereof) of the changes to the health insurance plan market in America. Instead, the challenge–filed by a conservative legal group in California–was denied because similar legal challenges are already winding their way through the lower courts. Moreover, the individual mandate provision at the centerpiece of the lawsuit is not scheduled to take effect until 2014.

Interestingly, both Justices Elena Kagan (a former Department of Justice lawyer for the current administration, although she didn’t participate in healthcare reform-related litigation) and Clarence Thomas (whose wife, Virginia, is a high-profile activist seeking repeal of the law) did not exclude themselves from the decision.

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Texas Medicaid Health Insurance in Danger

Tuesday, November 9th, 2010

Image: jpo under CC 3.0

Across the country, states are struggling to balance their budgets. (Unlike the federal government, they don’t have the luxury of running a deficit.) This generally requires some combination of raising revenue through taxes and cutting spending programs.

The Republicans that triumphed in the midterm elections are adamant about only using the former. In Texas, they are even considering cutting the affordable health insurance program for the poor, Medicaid. Although the program itself is largely run by the federal government, state governments contribute.

According to supporters of the withdrawal, Texas would launch its own health plan for the impoverished. Many aren’t holding their breath. There is also speculation that the proposal is at least partially intended to spite the Obama administration in Washington for getting involved in individual Texas health insurance matters.

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Will AT&T’s New Business Make Health Insurance Plans Cheaper?

Tuesday, November 9th, 2010

Last week, AT&T announced that it will be launching a new unit called ForHealth. The target market is doctors, health insurance companies, hospitals, and pharmaceutical firms.

It aims to provide cloud-based networking solutions, which are set to lower medical costs while improving communication–and therefore patients’ health. Many believe that moving to digital record keeping will lower the cost of health insurance plans, with the savings hopefully being passed onto consumers.

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First Step for GOP: Repealing Health Insurance Reform?

Monday, November 8th, 2010

Image: Gage Skidmore under CC 3.0

After a mostly triumphant Tuesday, Republicans are gearing up to take on several legislative centerpieces of the Obama administration. Most significantly, they are looking to say sayonara to healthcare reform by repealing what they refer to as “Obamacare”.

On CBS’ Face the Nation, current Senate Minority Leader (the Democrats retained control of the Senate) Mitch McConnell stated that the GOP was given a wide mandate by independent voters to repeal healthcare reform. According to them, they owe it to the American people to do better and come up with another way of making health insurance plans more accessible.

For their part, Dems are skeptical that the law can actually be reversed so easily. Those looking for it to happen as soon as the new congresspersons are sworn in in January will be disappointed. For one thing, Obama is sure to veto any such legislation that reaches his desk.

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Obama Didn’t Realize Affordable Health Insurance Reform Would Be So Hard

Monday, November 8th, 2010

Image: Beverly & Pack under CC 3.0

After his party’s drubbing in the midterm elections, President Obama is Monday-morning quarterbacking. In an exclusive interview with 60 Minutes, he admitted that he didn’t expect the passage and implementation of affordable health insurance reform to have such a high political cost.

Many would consider this view naive, given that presidents have struggled with the complex system for decades. Also, there are many interest groups heavily involved, with a major stake in the issue.

According to Obama, he assumed that his incorporation of proposals previously advanced by Republicans such as Mitt Romney would help bring about some compromise with the GOP. As it turns out, the final product ended up pleasing few: progressive Democrats wanted more, while conservatives wanted far less.

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Oklahoma Passes Ban On Health Insurance Plan Mandate

Monday, November 8th, 2010

Image: KB35 under CC 3.0

The big story involving last week’s elections is the resurgence of Republicans; they took over the House, and made up lost ground in the Senate. That will surely impact several policy priorities, including healthcare reform repeal.

Voters in Oklahoma also spoke out by passing an amendment to their state constitution that prohibits the federal government from forcing residents to purchase a health insurance plan, in response to the unpopular mandate provision.

Two thirds of voters in the state sent a message that the Obama administration should not become involved in Oklahoma health insurance matters. However, the amendment will probably have little actual impact on the federal government’s actions.

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