Volume 14, Issue 2   |  February 24, 2010

See Archives

Healthcare Reform Update:
Obama’s New Reform Proposal and this Week’s Bipartisan
Healthcare Summit
 
This Thursday, February 25, the White House is convening a bipartisan summit of House and Senate Democrats and Republicans to hold a televised discussion on healthcare reform. At the core of the discussion will be President Obama’s newly released proposal for revamping the nation’s healthcare system.

The President’s proposal is largely based on the healthcare legislation previously passed by the Senate. Among the key differences from the original Senate bill are increased federal subsidies for lower income families; a postponement until 2018 of the excise tax on high cost plans; a new Federal Health Insurance Rate Authority to review and approve insurer rate increases; and increased taxes on higher income individuals, medical device manufacturers, pharmaceutical companies and health insurers to help offset the almost $1 trillion ten year cost of the program.

The healthcare summit is organized to focus discussion on four topics: insurance reforms; cost containment; expanding coverage; and deficit reduction.

It is highly unlikely that the meeting will result in bipartisan agreement on the best path forward, let alone bipartisan agreement on the actual terms of reform legislation. Following the meeting, Democrats are likely to carefully assess both public and congressional feedback on the summit as they decide whether to pursue the controversial and risky strategy of using reconciliation to seek passage of Obama’s proposed plan.

Please contact your ArlenGroup consulting team for more information.

 

The Insight newsletter is not intended to provide legal advice but perspective on recent regulatory issues, trends and standards affecting employee benefits. Please consult your own legal counsel for further information on the topics discussed in this issue of Insight.

ArlenGroup  |  101 Montgomery Street, Suite 1750  |  San Francisco, CA 94104  |  415-733-7000