Saturday, October 24, 2009

Health Care: Opting Out

The latest health care trial balloon being floated is that states would be allowed to opt out of a federal health care public option. They would first have to prove that they were providing health care coverage to citizens of their state that met standards set by the federal government. No doubt it would be almost impossible to meet these standards – especially during the current difficult financial times. Most states are struggling to provide now existing programs.

If states did opt out, would their citizens then be exempt from the new taxes which are being proposed to fund the federal health care proposals? Would the cuts to Medicare not be applied to their state? It would be unfair to ask residents to pay for a federal public health care program that they were not receiving.

Florida has a home insurance program, Citizens. Its premiums have been traditionally higher than other private plans. Everyone knows that if a major hurricane hits Florida, Citizens could not pay its claims. State taxpayers would be responsible for the state’s shortfall. It would seem a state health care program would face the same problems.

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