Leigh Bailey

Leigh Bailey
Location
Berkeley, California, United States
Birthday
February 02
Bio
A writer, a mother, working to upgrade from inate cynism to cautious optimism every day. All original work posted here is the sole property of the author.

MY RECENT POSTS

Leigh Bailey's Links

New list
AUGUST 19, 2009 3:24PM

The Bullshit Solution: Health Care Co-ops

Rate: 15 Flag

Okay, so I'm really getting furious now.

I just called my senator--Dianne Feinstein--in a nearly fruitless attempt to find out what her stance is on the public option in the health care reform bill.

For any of my fellow Californians reading this, Feinstein has been particularly obtuse on her position here. I've tried scouring her website for information without success (despite the fact that an aide assured me she'd published her position there recently).

On my first call, I was told that the Senator did, in fact, support a public option, inasmuch as she would "vote for a bill that included" it.

But that isn't saying very much, is it? For one thing, that seems to be a safe bet for a Blue Dog who doesn't want to see the government competing with insurance companies, as WaPo and others are reporting the public option may well be dead.

It also suggests strongly that Feinstein is not actively supporting the public option--something I believe (and told her aide) she is obligated to do considering the wishes of her constituency.

On my second call (this time to her Washington office) I asked again what the Senator's position was. This time, after pressing through the wishy-washy response, I was told that Feinstein favors the non-profit "health insurance co-op." THIS, in fact, is the "public option" she supports.  

What's my problem with the notion of these "non-profit health insurance co-ops"? Well, for one thing, neither I nor anyone else I know has any idea what the fuck that even means.

According to Sen. Kent Conrad,  the concept’s chief proponent, a non-profit health-insurance co-op is more or less what the name implies: Theoretically, consumers would get together to form their own health insurance companies, and again, in theory, these co-operative companies would be able to offer affordable health insurance to the public.

One major problem with the idea is that, for the most part, they don’t currently exist, not as Conrad has described them.  While some 300 companies across the U.S. call themselves “health-care cooperatives,”  only two companies currently actually offer health care to the public: Group Health Care Cooperative in Washington, and  Health Partners in Minnesota.  (The rest are organizations “don't actually underwrite and sell health insurance; they simply negotiate rates on preexisting plans with health-insurance companies” according to an article in BusinessWeek.

Essentially, both Group Health Care and Health Partners are HMOs, just like the other HMOs we currently contend with. They’re just non-profit, and considerably smaller (read: less powerful) than the big insurance companies like WellPoint.

But consider this: Kaiser-Permanente--one of the biggest insurers in California, is ostensibly a not-for-profit corporation. Which hasn’t prevented it from becoming the  fifth-largest private company in America, according to Fortune, and for the first quarter of 2007 (the only quarter for which I could quickly find data) one that reported a profit of $1.7 billion dollars.  And as to keeping costs down? I don’t know about you, but I earn pretty good money and I can’t afford Kaiser coverage.

The important thing to consider about these health care co-ops is this: If they’re going to work as advertised, what is required is that we start them ourselves.  Which means we have to find about 50,000 like-minded local people, come up with millions and millions of dollars in start up money, then go out and find doctors and hospitals, nurses and other medical staff to actually provide actual, you know, HEALTH CARE. Should be a snap, no?

I don't know about you, but that seems like a ridiculous implausible solution to me.

So why are these “health co-ops” being touted as a reasonable alternative to a public program? And why are politicians like Sen. Feinstein pretending they are?  

This is important. You’re being sold a blank piece of paper here, one that will do nothing to address the needs of the poor or uninsured. It won’t ensure coverage for everyone, and it won’t lower costs.

 

Call your representatives today. Tell them that if they don’t vote for a public option, they’ll get no money and no vote from you next time they’re running for office.

 

Your tags:

TIP:

Enter the amount, and click "Tip" to submit!
Recipient's email address:
Personal message (optional):

Your email address:

Comments

Type your comment below:
Bump. Bumpity bump bump.
The public option is the only way to drive costs down. If you're not going to drive costs down, then do nothing. But I'm preaching to the choir here.
Totally. I just had to go educate myself on this absurd "health care co-op" thing. Which is PATENTLY ABSURD.

I tell you, OES, I'm just spitting mad these days.
Let's say you are a realtor and you want to get all of the realtors in the country into a group so taht they all can get medical coverage under the same umbrella. Insurance companies could compete for their business. Why would this not work?

Well, you can't. Currently the government won't allow such things.

I have no idea why this is allowed to happen other than the government says so.
Blackflon, what are you talking about? Of course you can do it. There are organizations all over the place who offer to pool you into group coverage (for example, for the self employed, like me).

It doesn't, however, translate into lower costs in my experience.
Leigh, if you're mad, I was feeling nearly numb. Then I thought of writing to Obama and I realized that I was clearer about the issue than I realized.

We have to contact our folks in Washington and let them know what we think. We must!
Susanne, I really am having trouble wrapping my poor little brain around this whole thing. Honest to god, it took me hours and hours to even get close to finding out what this "health care co-op" nonsense even meant and now it's the White House fall-back position?

OES is absolutely correct--the only way to hold health care costs down and make access affordable is to offer a public option.

And yet the very people we elected to get the damn thing done are now abandoning the ship!

I keep thinking, there have to be more of us than there are of them. Maybe we need to be more vocal.
I am hoping that this is similar to the Summer of 2007 & the Obama campaign seemed like it might go down in flames. It was getting pretty hopeless and awful, and then, he rose to the challenge. I am praying that when August is done, Obama will rise like a phoenix from the ashes. I am praying I tell ya!
Boy I hope you're right. But corporate interests seem far too pervasive here.
Janie, yay, and please do.

I actually got very stern with Feinstein's aide. She sort of gasped. I can't recommend actually raising your voice, but do sound really pissed off when you call. I think it helps get your message across and it's uniquely satisfying.
I am begining to believe I (and the rest of us) were bamboozled into electing Obama President. I hate to say it but I can't help it. It looks like the ONLY difference between the party of no and the Democrats is the spelling. BOTH parties have their hands in the cookie jars and don't give a big god damn about us.

We need to rise up in mass and teach them the error of their way. The Co-Op fantasy is just that, a fantasy. Obama on down should be deeply ashamed.
Bigger, badder, major BUMPITY, BUMPITY BUMP!!!
Really great points and efforts here, Leigh. It saddens me how much Kaiser has gone up over the last 10 years. I used to be a member and the medical services were excellent. My sister, an employee, swears by Kaiser, but she is on the inside. The Co-ops, like you said, are formed by people and will take a great deal of time and effort and then what happens in the meantime?! Business as usual?
Excellent post, and it sums up perfectly my own feelings on co-ops. Look for instance at Blue Cross Blue Shield. They started out as a co-op kind of thing, but have proved to be just as rapacious as the rest of the insurance industry. Co-ops aren't a legitimate stand-in for the public option, and anybody who says different is trying to sell us a load of crap.
It's the old "quasi-socialist" in me I guess but I still favor the "single payer" idea. If we are agreed that access to health care via insurance is a "right" then the way to do it is to have a "single pay" system which is shown as a tax withholding on our W-2. For those making an insufficient income or who have no income, then their premium will be subsidized in other ways. It's the only permanently equitable way to do it. Otherwise we're going to end up with another hydra-headed "cluster-flub".
You favor the single payer system, Leigh, because you have a brain and are interested in fixing a health care system that is broken, damaged, dysfunctional for all but the wealthy.

I heard one of the co-op proponents on NPR the other day, and he couldn't make it sound plausible no matter what he said. Especially when he got to the part about how it would have to be organized and run by members. Not happening. You nailed it in your title. It is a snow job, a diversion, a cynical attempt to offer an "alternative" solution that isn't a solution at all, but that will make it more likely that the public option will die.

I've been regularly firing off emails, but I think tomorrow it will be time to pick up the phone. And maybe fire off a letter to the local paper.
Amazing. There is one place on the internet where reasoned arguments about health care are being made.

Good job.

Now can someone go give the Democrats a shake and inform them they don't have to go running scared every time Rush thumps his meaty hands on the table and spews hellfire (lies) from his mouth?
What timing, Leigh. I'm already pissed off about my thieving health insurance company. I went to the doctor today for a small outpatient procedure. I paid my $50 co-pay (about which I constantly hear from office staff, "Your co-pay is so HIGH!") I then learned that my procedure was not covered, so I had to pay for it out of pocket, right then, before leaving the office. Oh, yes...the best part: I pay $1224 per month for health insurance for my family. It's way more than my mortgage and is such a struggle to maintain each month. We can't switch companies because of my husband's pre-existing conditions. I've written so many damn letters only to see no positive change. It's very frustrating. I'm starting to lose hope that things will ever change.
They talk about the co-ops to get support from those who don't know better.
We should hold out for single payer or nothing? That is what I am thinking. Used to believe in public option but so much dishonesty that I lost belief in that too. There will be admin. co-pays, not covered etc.