Obama Administration Cuts Major Part Of Health Care Reform Law: CLASS Long-Term Insurance Program

[Faygo Kid]

Source: Huffington Post

WASHINGTON -- The Obama administration says it is unable to go forward with a major program in the president's signature health care overhaul law – a new long-term care insurance plan.

Officials said Friday the long-term care program has critical design flaws that can't be fixed to make it financially self-sustaining.

Health and Human Services Secretary Kathleen Sebelius told Congress in a letter that she does not see a viable path forward at this time. By law, implementation of the program was contingent on Sebelius certifying it financially sound.

The program was supposed to be a voluntary insurance plan for working adults regardless of age or health. Workers would pay an affordable monthly premium during their careers, and could collect a modest daily cash benefit if they became disabled later in life. . .

Read more: http://www.huffingtonpost.com/2011/10/14/obama-health-care-law-class-program-cut_n_1011451.html

---

A lot of people worked really hard to include the CLASS Act in health reform.

[canoeist52]

1. And we the people cannot be financially self-sustaining

if we must take-on yet another insurance premium bill. There is simply no money left.

[Bosonic]

2. Your link seems to have disappeared

Here's an alternative:

Obama team axes part of health care plan

The Obama administration announced today it will not move forward with a new long-term care insurance plan -- a major part of its health care law -- because of problems with paying for it.

"Despite our best analytical efforts, I do not see a viable path forward," wrote Health and Human Services Secretary Kathleen Sebelius in a letter to Congress.

Congressional Republicans had vowed to kill the program, calling the Community Living Assistance Services and Supports program (CLASS) too expensive.

http://content.usatoday.com/communities/theoval/post/2011/10/obama-team-axes-part-of-health-care-plan/1

[Faygo Kid]

9. Fixed! Thanks - that was weird.

I could have sworn I posted it properly.

[Nuclear Unicorn]

3. wow

just wow

We tear the country apart. We use reconciliation to pass the law WITHOUT single-payer; a strategy that will be rammed back down our throats if/when the GOP grabs the reins next. We're told the best they can give us is to force march us into some corporation's profit margin. No prescription re-purchasing. They gut $500 billion from medicare (the one part the GOP will allow to survive).

Then when something is actually a LAW, you know, that thing everyone is supposed to obey, we're told, "Sorry, can't do that. Too hard."

Long-term care benefits were supposed to be one of the things bankrupting people that drove the economic collapse! People don't go bankrupt over annual check-ups.

Now they just disregard their own laws but we get to stay on the corporate rolls -- or else. And YOU better obey because it's the law.

[cbayer]

4. Here is a link to the article and a snip on why this is not viable at this point

But a central design flaw dogged CLASS from the beginning. Unless large numbers of healthy people willingly sign up during their working years, soaring premiums driven by the needs of disabled beneficiaries would destabilize it, eventually requiring a taxpayer bailout.

http://www.huffingtonpost.com/2011/10/14/obama-health-care-law-class-program-cut_n_1011451.html

[PoliticAverse]

6. This is the same 'mandatory' vs 'volultary' issue that affects all the health insurance issues.

If people can sign up at any time, they wait till they are likely to need the insurance and hence it isn't
really an insurance program anymore.

[cbayer]

8. Exactly right

[valerief]

20. So there'd be a taxpayer bailout. So what? Maybe if all our tax dollars weren't going to WAR and

1%er theft, there might be something leftover for the taxpayers.

[eridani]

30. It would be viable if everyone were under single payer n/t

[TheMadMonk]

37. Which argument begs that any person unable to pay their own way ...

...treating a chronic medical condition, bear any and all consequences unremarked.

Medicaid, Medicare, general accident, full cover with and without gap, protected and unprotected minorities, permitted exclusions:- All cost avoiding, profit garnering bullshit designed to break "The Problem" of universal health insurance up into multiple, individually intractable parts.

If all health issues are simply consolidated without regard for apportioning blame or avoiding responsibility, "the numbers" are very simple, $X per head of population suffices quite handily. It's only when you start looking for reasons not to pay that it becomes at all complicated.

Tax cigarettes, alcohol, etc at affordably punitive rates and be done with it. When someone needs lungs or liver, add them to the queue without quibble.

[defendandprotect]

50. "It's only when you start looking for reasons not to pay that it becomes at all complicated" --

Tax cigarettes, alcohol, etc at affordably punitive rates and be done with it. When someone needs lungs or liver, add them to the queue without quibble.


Great idea!!

[PoliticAverse]

5. Businessweek.com version of the story...

http://www.businessweek.com/news/2011-10-14/u-s-won-t-start-long-term-care-insurance-sebelius-says.html

[Hoyt]

7. That's the problem with "voluntary" insurance programs -- you don't have enough "well" people paying

to cover sick folks.

It would be nice to see a long term care insurance program, but it is very expensive. Fortunately, there already is a government program that helps most people who cannot afford a nursing home -- Medicaid. It ain't pretty, but better than letting folks die in the streets as GOP would prefer.

[jwirr]

13. I am on both Medicare and Medicaid and they are very good programs.

They are expensive but I suspect not as expensive as insurance premiums will be. However, these two programs have also been shoved into the insurance company payrolls as well. Why in the hell he and congress did not listen to the people when they were doing this is beyond me. Now he is trying to run with a flawed HCR bill that cannot be made to work. He and Romney will make a great pair of candidates.

[JJW]

10. His plan didn't take into account his free trade deals

that ship jobs overseas, thus the working adults who would have paid into the program are jobless.

Just have to laugh and cry and the silliness of our corporate sponsored politicians.

[russspeakeasy]

11. "critical design flaws" pretty much sums it up.

[still_one]

12. and they didn't realize this before? This does not say very much for the compentency of the

administration I am sorry to say

Maybe we do need a primary challenge

[TorchTheWitch]

41. the critical design flaw was written into the bill that way on purpose

They had no intention of keeping it once the law was passed. It was just there to make the bill more palatable to get the votes to pass it. By the time they're finished gutting this disgusting law there will be nothing left but the mandate and the fines.

[newspeak]

43. we're on the same page

by the time they get done gutting anything that was palatable, all will be left is that we are forced to buy unregulated health insurance or pay fines. And because decent paying jobs are becoming harder to find, many families may chose to pay the fine with no insurance, which they also won't be able to afford.

[defendandprotect]

51. +1 --

[truedelphi]

14. Thank you for

updated Health Care Information.

Like others are saying, Is he even TRYING to be reelected?

[dotymed]

25. "They" tell us who gets elected.

Google Fascism.

Voting doesn't count. Taking to the streets is the only way.

[Smilo]

15. Monkeys on their typewriters

could have made more sense.

So make it self-sustaining!!!

Is this just another "we have ours, why should we care" or are they just stupid? Answers to Sebelius and Obama.

[banned from Kos]

16. Monthly premiums of $235 to $391? For Long Term care insurance? No chance.

http://news.yahoo.com/obama-pulls-plug-part-health-overhaul-law-190228758.html

Those premiums were certain to rise as fewer opted in.

[dflprincess]

58. Someone in Washington figured out that that was not "affordable"?

Maybe we should be impressed they figured that out. :sarcasm:

[RC]

17. Single Payer, Universal Health Care would solve all these problems.

Most everyone else went that route and they ain't coming back either.

[dotymed]

24. The fascists in D.C. know that.

The CBC released the figures (of course they were not allowed "at the table") that showed of the trillion$ we would save by having Universal health care.

Big problem? No profit for health insurance companies and only a reasonable profit for pharmaceutical companies, like they get from ALL other countries.

OWS has to work or things will really get ugly. We are tired of Fascism.

[defendandprotect]

52. +1 -- MEDICARE FOR ALL -- NOW!

[Scuba]

18. Well, it's only the People. It's not like it's a jet fighter or a submarine for gosh sakes.

sarcasm thingy

[xchrom]

19. Recommend

[Name removed]

21. Deleted message

Message removed by moderator. Click here to review the message board rules.

[dotymed]

26. I disagree. He is not in a fight (unless you mean with the people).

He is doing exactly what he is told to do.

[EdMaven]

22. why would they be starting a new program to duplicate what already exists?

social security disability is the same thing.

+ medicare, medicaid, & ssi.

why not strengthen those instead?

[blueclown]

23. This is a great idea in theory.

However, for-profit insurance has ruined another promising initiative. Steadily increasing insurance costs make this program unsustainable.

What's the solution? Expand Medicare to include a larger long-term care benefit, funded by a income tax surcharge.

[SoapBox]

27. We're getting rid of it because we don't THINK we can make it work????

You're shitten me...right?

How about this...MAKE IT FREAK'N WORK!

Stuff like this is simply unbelievable to me.

[Doctor_J]

40. that's not what it says

she does not see a viable path forward at this time.

It can't be made to work.

[Hydra]

28. That's ok, he dropped the thing about children's insurance

When the insurance companies told him that it wouldn't be obscenely profitable for them.

I'm fully expecting that everything except the mandate will be axed from the law, piece by piece.

Ain't the rule of law great? They say what the law is, and we get arrested for arguing.

[alp227]

29. why not cut WAR or CORPORATE WELFARE?

and let's take action and de-seat the Tea Party from the House!

[defendandprotect]

53. Cut War and Corporate Welfare -- and primary Obama in 2012 -- !!!

[closeupready]

31. White House eliminates insurance program for long-term care

Source: Washington Post

The Obama administration cut a major planned benefit from the 2010 health-care law on Friday, announcing that a program to offer Americans insurance for long-term care was simply unworkable.

Although the program had been dogged from the start by doubts about its feasibility, its elimination marks the first time the administration has backed away from a key piece of President Obama’s signature legislative achievement.

Republican critics of the law immediately said the decision proved that the legislation is unsound and unsustainable. Every major GOP presidential candidate has pledged to work to repeal it.

Because the insurance program had been projected to reduce the federal deficit by $86 billion over the next 10 years, terminating it complicates the nation’s budget picture. It is now estimated that the health-care law will cut the deficit by $124 billion from 2012 to 2021, according to the Congressional Budget Office.

Read more: http://www.washingtonpost.com/national/health-science/white-house-kills-long-term-care-program/2011/10/14/gIQAVZLYkL_story.html

---

Brother. :eyes:

[Dagaz]

32. A failure not needed

This was the most attacked piece and for good reason. It was sold on being revenue neutral but that's only the case if people buy in early when they don't need it. Scrapping this will look better for the rest of the plan.

[tblue]

36. Yeah, but this is coverage people really really need.

People will die sooner without longterm care.

[Arctic Dave]

33. Popcorn. :)

[juajen]

34. They need to stop the bleeding. NT

[Psephos]

35. However, there can be no doubt about the financial projections on the rest of the bill.

Right?

They better get out ahead of the rest of those projections or the pugs will be making hay for a long time to come.

[mike_c]

38. boutique wars aren't financially sustainable, either...

...but there always seems to be plenty of money for THOSE!

[Doctor_J]

39. Unfortunately I think he let himself be talked into a half-assed plan

that's going to cause as many problems as it solves. Like this.

[defendandprotect]

54. "He let himself be talked into" ... ????? When is Obama responsible for his decisions ....

and those he surrounds himself with -- ?

People he has appointed are those pimping for the rich -- and cover up for them --

while making fortunes for themselves and destroying the general welfare -- !!

[expatriate2mex]

57. + 1,000,000.nt

[Safetykitten]

42. Well this is going well. At this rate, we will get a 5 buck off coupon in 20...when does this crap

start? 2014...

[and-justice-for-all]

44. Medicare for all...PERIOD!!!

[Telly Savalas]

55. Medicare generally doesn't pay for long term care

Which is kind of why there was a need for a program like CLASS

[expatriate2mex]

59. Medicare is not good coverage unless you purchase something to go with it.

Not to mention the rapidly increasing dr's dropping it like a hot rock. One of the reasons we came back to mexico is that I could no longer see the specialists I needed, If it has to come out of pocket then it might as well be a lower price.

[clinton4life2011]

45. Obviously the Republicans at work...shame on them

[expatriate2mex]

60. If you find any point a gun at obama's head making him do this

stuff then you need to report them.

[endless october]

46. single payer is the way to go.

tying insurance to employment is a poor solution.

for example, i was just forced to switch jobs.

my monthly co-pay for one prescription at the old job : $30.

my monthly co-pay for the same prescription at the new job : $200.66.

no generic option available. it will be a real struggle to afford my medicine now.

the fact that the simple act of changing jobs can do this to anyone is really unfortunate.

[eilen]

47. Even with Medicare D--

My Mom's Advair used to be a covered med under her Wellcare plan, this year they decided to drop it. She needs that medication to breathe. Now she has to figure out who will cover it and switch over. And that's only because she decided to really look closely at the mailer-- it looked like every other piece of of mail from Wellcare who sends quite a bit-- 3-4 envelopes a week.

[wordpix]

48. this country is headed for disaster with the Alzheimer's/dementia epidemic growing

and no long term care insurance unless you're rich enough to afford it.

Seriously, my mother's been diagnosed with Alzheimer's for 3 yrs. and now needs round-the-clock care. This is extremely EXPENSIVE and will go on as long as she does.

Can you imagine the number of baby boomers with dementia who will be wandering the streets if their families won't take care of them, i.e. if they cannot afford to leave work to give care?

As people live longer, they have a greater chance of getting Alzheimer's. My mom did not have any memory problems or symptoms until age 80, and was independent until she was 83. Three yrs. later, she now needs help with everything, including walking and toileting. This is a very serious national problem and I'm disappointed the CLASS Act is dead now.

[defendandprotect]

49. Recall how few problems there were passing TRILLIONS in BAIL OUTS to corporations ....

Funny how smoothly it works when its WELFARE FOR THE RICH!!

[christx30]

56. So they're going to tax us

back to the stone age, charge us fines if we can't afford $400 a month in insurance, and reduce what we can look forward to in long term care. I mean.. after a lifetime of paying that much money, and we can't even look forward to long term care in our old age? That sounds like we're getting a pretty sweet deal. :sarcasm: