CBO: House Bill Would Cover 97 Percent Of Americans And Cost $1 Trillion

The Congressional Budget Office estimated in a letter to Rep. Charles Rangel (D-N.Y.) on Tuesday that the House health care reform proposal would reduce the number of uninsured by 35 to 37 million people, relative to current projections. The non-elderly insured population would increase to 94 percent.

Excluding illegal immigrants, that brings the total covered under the plan to 97 percent of all Americans. Three million people, the CBO estimates, would switch from employer-based coverage to coverage from an insurance exchange. The exchange would be similar to the health insurance options available to members of Congress, with a required minimum amount of coverage.

Another three million wouldn't have an offer of employer coverage to decline -- a significant number, but far from the tens of millions losing insurance that the GOP has cited.

The CBO estimated the public plan offered by the bill would be roughly 10 percent less expensive than other plans in the insurance exchange and that 9 to 10 million people would enroll in it.

The cost over ten years would be $1.042 trillion -- markedly less than estimates of Senate plans with less coverage and no public option.

Read the full letter from the CBO here and e-mail [e-mail] with observations. The CBO answers questions about its analysis here.

The House released the text of its much-awaited bill on Tuesday. It can be found here.

Early reviews of the bill are good.

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Comments

[gypsy508]

It's just a bailout for the insurance companies, following on the heels of the Democrats bailing out the banks. Guess that is what to expect from a party corrupted by big corporate money and followers who always settle for the lesser of two evils.

[Lorianne]

Under current proposals being bandied about, Insurance Companies would act as government contractors (much like Haliburton, Bechtel, Dyncorp .. to defense ) to provide the so-called 'public option' plans. It's kind of like having for-profit developers also pay for a certain % of 'affordable housing'.

The cost dif will go to the full-fare customers ... for a while ... until they drop out and then the Gov contractor insurance companies will keep raising the 'public' rates and lowering coverage ... just like they do now on private plans. All they have to do to get rate hikes and cover less is lobby Congress (just like they are doing now).

So, as far as I can tell, the so-called 'public option' is just going to be funneling taxpayer money into insurance companies.

[dogdiva]

I'm continually surprised at the disdain people have for health care reform, as if there is great merit in voluntarily paying huge sums to fill the coffers of the giants in the health care industry. What the House came up with is far less than is needed but it is an improvement over the free fall we were in. I would imagine that it won't look even this good when the Senate gets at it and it gets to the President. Most people who have good employer provided insurance should get some considerable benefit from the competition. For those who are desperately trying to hang on with no insurance or self-paid insurance, they most likely will not survive the 4 years. That should reduce the "pool" so take heart.

Conservatives who seem to be bent on voting against their own self-interest will no doubt reap some nice benefits. I remember back when family members railed against Social Security and farm subsidies. Guess who was first in line to sign up? Mind you, they cursed the "gd government" all the way to the bank.

I really really hope something decent gets through. It just doesn't change "too little, too late".

[RRoadrunner]

To everyone who voted for Bush or a republican to congress during the last 8 years THANK YOU! We are on the verge of having one of the most sweeping reforms since the LBJ era and thanks to your party’s incompetence we are almost there.
Don’t blame the Democrats for the ballooning deficit, the infusion of capital into the private sector or providing health care to the masses. It was of your party that got us here.
We have a few more hurdles to go through, but reform will happen!
THANK YOU, THANK YOU, THANK YOU

[lj9283]

Not sure why it is going to take five years begin this plan.

I see three significant problems wit the Bill:

1. Year one of implementation of the plan is 2013. Why does it take four years to begin a plan thatis only a different configuration of what we have? I would expect four years to implement single payer, but this?

2. The Public Option only pays the providers 5% above Medicare rates. This will probably limit significantly the number of doctors who will sign on to accept the plan. So if your doctor doesn't accept Medicare now, don't expect them to accept the Public Option plan.

3. Employer Health Insurance Plans have five years (until 2018) to comply with the new rules that are mandated in the Bill (I believe that would include pre-existing conditions).

[menlopian]

There is nothing reforming about this bill. On the cost side, it is a doubling down on the same public fee-for-service mechanisms that have been driving up healthcare costs for decades. And this is going to cost way more than a trillion; just look at what is happening with Romneycare-- this plan isn't all that different.

[Lemmy]

Massachusests health care is already bankrupt - barely three years in.

[mkw408]

Make no mistake. The only thing good about this bill is the sound of what it will do for the poor and uninsured. This bill was written by the Healthcare industry and their lobbyists. If it was truly a good bill it wouldn't have made it through. That $1 trillion will be more like $25 Trillion. How can you not count illegal immigrants? They are still here and they will still be given free healthcare though the emergency rooms. That will be passed on to the consumer. It sounds like the bulk of this cost will be heaped onto the middle class through decreased benefits through existing care and higher costs.

The earlier person that captioned it "DEN OF THIEVES" is correct. As Ariana said in a blog entry a couple of weeks ago. All the teeth are taken out of these bills before they see the light of day.

[old lady]

for all wondering how to pay for universal health care - consider

examine and eliminate all the "double-dip" charges by health providers and facilities!!! new practice is to be billed by a clinic for just walking in the door and receiving a separate bill from "subcontract" MD.
Exorbitant drug charges by hospitals - check out their cost methods!!!

and never forget that all those Senators and Congressmen who want to protect you from the evil of universal health are generously covered by tax paid government health'

There is nothing wrong with Government health delivery - and if they think there is they should cede the benefit.

[Lorianne]

No one is proposing universal health care or 'government delivery' health care.

[Blufftonian]

Photo caption: Den of Thieves.

[Grizzlynorth]

has Rangel paid his taxes yet? - you know, on the income he tried to hide from his foreign rental properties while he's living in subsidized housing in his district? - has the man(?) no shame or is he a true dimocrap?

[Lemmy]

Drain the swamp Nancy! She's too busy throwing our intelligence community under the bus.

[SandWedge]

I like the Democrats being in control of congress yet I'm certain that if they pass another huge, expensive bill there will be a backlash and they will lose that control. So I'm against this health care bill and any other big bill like it.

Obama had his choice in January, he could have pushed health care or given more massive bailout money to the banks. He chose the banks. And no I'm not an Obama-hater type, I was for him last year and will likely be for him next time around.

[iblogleft]

So it looks like we will be required to buy insurance, with no requirements for affordability or coverage.

Looks like the auto insurance mandates, only with less competition.

If I understand correctly, you may only opt-in to a public plan if you make from 12k to 48k for a family of four?

[lj9283]

1. There will be requirements and standards for all Insurance Providers providing coverage.
2. You will only receive a subsidy for the public option if you make from 12k to 48k for a family of four.
3. Any individual or family in need of Insurance can opt into the public option.

[iblogleft]

Ah, very good, thanks for the clarification.

[Pleneras]

Healthcare bill for the 47 million uninsured whose bills we are now paying directly from the hospital:

2 trillion

Healthcare cost after everyone is covered under single payer, and who could not, and would not be covered via private blood sucking insurance car like plans:

1 trillion

Savings to the government? 1 Trillion!

[Grizzlynorth]

LOL you should apply for a job at the WH with that kind of dimocrap math LOL

[JonRaymond]

Actual cost of wars since 9-11 $5 to $7 trillion. Source: http://threetrilliondollarwar.com ($3 trillion is the unrealistic super conservative estimate)

If you want to talk about where the money goes then let's talk about where the f-ing money goes!

[jasongrundy]

Did I miss something? The Dems in the house actually have something good.

[Grizzlynorth]

what is it? imported tea?

[Chernynkaya]

Yes, you missed something. This bill only helps the insurance companies. Read it.

[JonRaymond]

Yeah sounds like a new bailout plan. The insurance companies are facing dwindling membership because people cant afford it. We can't have that. Congressional campaign contributions might be affected.

Solution: mandatory health insurance

Action: Call Congress and tell them to F.O.

[socalgal38]

I have spent several hrs reading this bill and have to say I was surprised. It has a public option like medicare. It has the employer providing either a private plan or the option of the public option. The employee can op out of the employer plan. It has the medicad that will cover up to 133% above poverty level people. There is a State option, and a National option.

There are 3 different groups that will overlook the whole health care system. There is medical education reimbursement.

OK it's not single payer, that is disappointing, but from what I have read it could be down the road I think.

[lj9283]

I too spent a while reading the bill and have some serious reservations that are leading me to not support this bill :

1. Year one of implementation of the plan is 2013. Why does it take four years to begin a plan thatis only a different configuration of what we have? I would expect four years to implement single payer, but this?

2. The Public Option only pays the providers 5% above Medicare rates. This will probably limit significantly the number of doctors who will sign on to accept the plan. So if your doctor doesn't accept Medicare now, don't expect them to accept the Public Option plan.

3. Employer Health Insurance Plans have five years (until 2018) to comply with the new rules that are mandated in the Bill (I believe that would include pre-existing conditions).

[sandals]

I was watching Morning Hoe, and he is just "Shocked how this President is moving to the Left!"

Well guess what we aren't a center right country like they want everybody to believe.
I know they want their power back and they based everything on keeping the people dumbed down and in line with fear,national security, abortion and gays, guns and god.

Name me one thing that the Rethugs did to help the American People?

I don't care what the cost is I am willing to pay more taxes and that is the way our system is suppose to work the more you make the more you get taxed, and I am sure the rich will find a tax haven somewhere.