Outten & Golden: Empowering Employees in the Workplace

Posts Tagged ‘health insurance’

Trump’s new rule allows employers to drop birth control coverage with no oversight

Friday, October 6th, 2017

New contraception rules outlined by the Trump administration will allow employers to stop covering birth control — with zero government oversight.

The administration announced on Friday that, effective immediately, it was rolling back federal requirements introduced under the Obama administration which require employers to include birth control in their health insurance plans. Under the new rules, employers can simply self-exempt, citing religious or moral objections, and tell their workers that their birth control is no longer part of their health-insurance coverage.

Those employers are not required to tell the government either, according to PBS NewsHour correspondent Lisa Desjardins. They need to notify the insurers, and can send an optional note to the government.

The new rules fulfill a key campaign promise the Trump administration made to social conservatives, who have continually voiced dissent with the Obama-era federal requirement and challenged it in court. House Speaker Paul Ryan (R-WI) said it was a “landmark day for religious liberty” and would ensure that people “can freely live out their religious convictions and moral beliefs.”

But the rules are deeply damaging to women’s reproductive health, and reflect a wider trend of the Trump administration attempting to dismantle women’s access to health care by opposing abortion rights and cutting grants aimed at tackling teen pregnancy.

“They like to talk about these policies in isolation,” Adam Sonfield of the Guttmacher Institute told ThinkProgress’ Amanda Gomez. “They are not just trying to undermine contraceptive coverage. They’ve tried to cut Title IX funding, Planned Parenthood funding… you have to see it as a coordinated campaign.”

The ACLU, along with the Center for Reproductive Rights, Americans United for Separation of Church, and the state of California, have all said they intend to sue the Trump administration for denying birth control to women.

Conservatives have long insisted that the birth control rollbacks are designed to protect the religious liberty of groups who believe providing contraceptives would violate their moral beliefs. However, data provided by the Center for American Progress to Vox in August showed that the majority of the companies that had applied for and received exceptions were for-profit corporations. They included companies that worked in human resources, industrial machinery, and wholesale trade. (ThinkProgress is an editorially independent news site housed within CAP.)

According to Jamila Taylor, a senior fellow at CAP, the rules suggested Trump’s rollbacks “will open up the floodgates for nearly anyone to force women to pay out of pocket or navigate hurdles to obtaining additional cost for contraception… and simply chalk it up to moral opposition.”

About the Author: Luke Barnes is a reporter at ThinkProgress. He previously worked at MailOnline in the U.K., where he was sent to cover Belfast, Northern Ireland and Glasgow, Scotland. He graduated in 2015 from Columbia University with a degree in Political Science. He has also interned at Talking Points Memo, the Santa Cruz Sentinel and Narratively.

Republicans Working Against Workers

Wednesday, July 19th, 2017

Ever-worsening is the chasm between the loaded, who luxuriate in gated communities, and the workers, who are hounded at their rickety gates by bill collectors.

Even though last week’s Bureau of Labor Statistics report showed unemployment at a low 4.4 percent, wages continue to flatline, killing both opportunity and the consumer economy. Meanwhile, corporations persist in showering CEOs and their cronies with ever-fatter pay packages and golden parachutes when they mess up.

This would all be sufferable if workers felt those in control in Washington, D.C. were striving to turn it all around. But the Republicans, who boast majorities in both houses of Congress, are just the opposite.

Their legislation shows they’re indentured to big business. Ever since they took power, they’ve labored tirelessly to destroy worker protections. They’ve swiped money from workers’ ragged pockets and handed it to 1 percenters on a silver platter – a plate bought with massive campaign contributions by the 1 percent.

The most blatant example is Republicans’ so-called health insurance bill. Both the House and Senate versions would strip health care from tens of millions of Americans while granting corporations and the nation’s richest tax cuts totaling $700 billion.

The Tax Policy Center determined that households with incomes above $875,000 a year would get 45 percent of those benefits. For the wealthiest, the annual tax cut would be nearly $52,000, a big fat break that is almost exactly the entire household income for the median American family.

In other words, Republicans want to hand millionaires a check that equals what a typical family earns by working an entire year.

Those massive tax breaks for the rich cost workers big time. Republicans’ so-called health insurance bill slashes Medicaid, so workers’ frail, elderly parents will lose the coverage they need to remain in nursing homes, babies born with cancer and crippling congenital diseases will be cut off care, and relatives who are victims of the opioid epidemic will be denied treatment. But, hey, the rich get richer!

Meanwhile, Republicans are pushing legislation in Congress to hobble labor unions and suppress wages. One House bill would delay union elections, giving corporations more time to bully and fire workers who consider joining. This proposed legislation would also stop workers from organizing small groups instead of the entire roster of employees.

Yet another GOP proposal would change the definition of democratic election. As it is now, a congressional candidate wins when he or she receives the highest number of votes cast. Candidates aren’t deemed losers if they receive votes from fewer than half of all potential voters.

Securing ballots from more than half of potential voters would be a very hard standard to meet because in many elections little more than a third of eligible voters go to the polls. In the 2016 Presidential election, 58 percent of potential voters exercised their franchise. That means neither Donald Trump nor Hillary Clinton would have won under the more than 50 percent of eligible voters standard.

Even so, the bill under consideration in Congress would impose that standard on unions. When workers want to form a union, this legislation would require that they get positive votes from more than half of all eligible workers, not more than half of those who actually vote.

It is a standard no politician would want to be held to, but Republicans are willing to require it of workers to prevent them from organizing and bargaining jointly for better wages and working conditions.

At the bidding of corporations, Republicans are working against workers because labor organizations succeed through concerted action in wresting from fat cat CEOs a more fair share of the fruit of workers’ labor. Workers in labor unions receive higher wages, better health benefits and pensions and safer conditions.

When more workers were unionized, the space between rich and poor was more like a crack than the current chasm. In the 1950s, 33 percent of workers participated in labor organizations. Now it’s 10.7 percent. In the ’50s, the ratio of CEO-to-worker pay was 20-to-1. That means for every dollar a worker made, the CEO got $20. Now the ratio is 347-to-1. For every dollar a worker earns, the top dog grabs $347. CEOs of S&P 500 corporations pulled down an average of $13.1 million in total annual compensation in 2016, while their typical worker received $37,632.

The high point of unionization in America, the 1950s, was the low point in income inequality. It is called the time of the great compression. And a new study published by the National Bureau of Economic Research reaffirms that unionization produced better wages.

In a report titled “Unions, Workers, and Wages at the Peak of the American Labor Movement,” scholars Brantly Callaway of Temple University and William E. Collins of Vanderbilt University analyzed new data and determined “the overall wage distribution was considerably narrower in 1950 than it would have been if union members had been paid like non-union members with similar characteristics.”

They go on to say, “Our historical interpretation is that in the wake of the Great Depression, workers sought and policymakers delivered institutional reforms to labor markets that promoted  unions, reduced inequality, and helped lock in a relatively narrow distribution of wages that lasted for a generation.”

That time is gone. Unions have been declining for decades, largely as a result of onerous requirements legislated by Republicans. As unions shrank, so did worker bargaining power. The result is that while workers’ productivity increased, their wages stagnated for the past three decades.

Still, Republicans are squashing unions even more by, for example, reversing a rule requiring corporations to report when they hire union busters to strong-arm workers into voting against organizing.

And Republicans are working hard on other measures to ensure workers make even less money. For example, Missouri Republicans reversed a minimum wage increase in St. Louis and prohibited the state’s cities from requiring union-level wages on public construction projects.

In addition, in Washington, the Republican administration refused to defend in court a new rule that would have made millions more workers automatically eligible to receive time-and-a-half pay when they work overtime.

If workers feel like the system is rigged against them, that’s because it is. Republicans working at the behest of CEOs and the U.S. Chamber of Commerce have created a government by corporations for corporations.

And none of the government welfare and benefits that corporations and one percenters got for themselves in this process ever trickled down to workers.

This blog was originally published at OurFuture.org on July 14, 2017. Reprinted with permission.

About the Author: Leo Gerard is the president of the United Steelworkers International union, part of the AFL-CIO. Gerard, the second Canadian to lead the union, started working at Inco’s nickel smelter in Sudbury, Ontario at age 18. For more information about Gerard, visit usw.org.

“Just Cause”: Isn’t It Time For All Workers to Have Some Job Security?

Tuesday, January 22nd, 2013
randwilsonDuring World War Two, employers were prohibited from raising wages because of wartime Wage and Price controls.  With labor in short supply, employers and union leaders sought ways around the government limits and agreed to new health insurance benefits as an alternative to increased compensation. Thus was born our odd system of employer-based health insurance.  
 
That seemed like a good idea at the time because union leaders could achieve through collective bargaining what had been elusive through government reform: health security for their members.
 
Over the next thirty years or so, health insurance benefits expanded.  As more and more workers were covered by private insurance plans provided through their employers, the urgency of winning broad political reforms diminished and labor backing to win universal coverage faded. Our failure to expand the health benefits achieved through collective bargaining to the entire working class eventually left union members in a vulnerable position. At a certain point, union health benefits for the relatively few union members were far more generous than what most workers had. Faced with out-of control health costs employers sought to make cuts and throughout the 90s and 2000s union members increasingly were not able to defend them.
 
The final result is the very mixed result of ObamaCare, a plan that is sadly not universal and now is actually being used by employers to attack so-called “Cadillac Plans.”
 
“The United States is alone among industrialized countries in allowing at-will employees to be terminated for arbitrary reasons.”
 
That lesson shouldn’t be lost as we face what I predict will be the next collective bargaining battleground: the job security provisions of union contracts, including the “just cause” clause.
 
Instead of waiting for such an attack, we should seize the opportunity to champion passage of “Just Cause” standards into state laws. It’s a labor law reform proposal that will appeal to all workers while putting employers on the defensive.
 
It’s long overdue. The United States is alone among industrialized countries in allowing at-will employees to be terminated for arbitrary reasons. Governments such as France, Germany, Japan and the United Kingdom require employers to have a “just cause” to dismiss non-probationary employees. Just cause appeals to basic fairness, just as due process does in court.
 
Just cause marks the dividing line between employees with job security and “at-will” employees. At-will employees have no job security: they can be fired for a mistake, an argument with a supervisor, a critical comment about the enterprise or management, taking a sick day, a complaint about working conditions or pay, or involvement in outside political campaigns* – all activities that just-cause covered workers can take part in without worry.
 
One state has passed a law.  The Montana Wrongful Discharge from Employment Act was passed in 1987. Applicable to non-union non-probationary employees,
it prohibits discharges without good cause, allows workers to sue for up to four years of back pay, and provides a method for workers to recover attorneys’ fees. Despite fear-mongering by opponents, the Big Sky state’s robust economic growth has not been affected. Statutes in Puerto Rico and the Virgin Islands also prohibit termination without “good cause.”
 
Winning “just cause” legislation would certainly not be easy. But building a movement to win it offers union leaders and activists an opportunity to champion an issue that would benefit all workers and also help union growth. Short of state or federal legislation, local unions, CLCs (Central Labor Councils) and workers’ centers could seek to enforce a just cause standard through workers’ rights boards and / or community pressure.
 
A “just cause” campaign would potentially engage working people at many different levels. One can imagine communities declaring certain areas, “Just Cause Zones” and fighting to enforce it as a community standard with employers. Other supporters could be involved using the proposed legislation as a “litmus test” for labor support in electoral campaigns. Still others could be involved in holding hearings on the importance of achieving a “Just Cause” standard and lobbying for passage with city councils and state legislatures.
 
If “just cause” campaigns succeed, workers will have more security to participate in union campaigns. Union leaders and organizers will be able to make the point that they are experts at enforcing just cause protections and can provide representation at hearings etc.
 
Even if campaigns for just cause do not succeed, millions of non-union workers will learn about the concept (especially if campaigns are based on ballot referendums) and the increased security it could bring to their lives. By popularizing the “Just Cause” concept, more workers may respond by thinking, “If we can’t get this important protection through the legislature, let’s get it by forming a union!”
 
Meanwhile, if employers do seek to roll back the just cause articles in our contracts, union members won’t be in the same position we were with the attacks on health care. Instead, we will have laid important groundwork to win broad public support and the employers’ attack can be parried, perhaps even used to strengthen the broad campaign.
 
Imagine the labor movement leading a campaign to win Just Cause protections for all workers. The sooner we get started the better!
 
 
Readers interested in learning more about the Just Cause standard should read Robert Schwartz‘s new book, “Just Cause: A union guide to winning discipline cases.” The book lays out seven tests that are the guiding principles for discipline and discharge in most union workplaces. With reform, those same standards could apply to everyone. More info go to Work Rights Press.
 
 
This article was originally posted on Union Review on January 8, 2013. Reprinted with Permission.
 
ABOUT THE AUTHOR: Rand Wilson has worked as a union organizer and labor communicator for more than twenty five years and is  currently an organizer with SEIU Local 888 in Boston. Wilson was the founding director of Massachusetts Jobs with Justice.  Active in electoral politics, he ran for state Auditor in a campaign to win cross-endorsement (or fusion) voting reform and establish a Massachusetts Working Families Party.  He is President of the Center for Labor Education and Research, and is on the board of directors of the ICA Group, the Local Enterprise Assistance Fund and the Center for the Study of Public Policy. 

NFL Lockout Could Cost $160 Million, 115,000 Jobs

Friday, December 3rd, 2010

Image: James ParksIf the National Football League owners lock out the players next season, not only will millions of fans not have games to watch on Sunday afternoon, but more than 115,000 jobs could be lost, according to a new study.

The 32 NFL teams employ on average 3,739 people each, including players, concession workers and office staff. If the lockout lasts a long time, layoffs are likely and many of those jobs would not come back, said Jesse David, senior vice president of the economic consulting firm Edgeworth Economics, who conducted a study of the impact of a lockout for the NFL Players Association (NFLPA). Check out a summary of the study here.

Not only are the players affected, but the jobs of more than 25,000 concession workers at stadiums across the country are threatened by the lockout. (See video above.)

In a telephone press conference this morning, David and NFLPA official George Atallah said each NFL home game generates on average $20 million for the team and the community. A lockout could cost each of the 32 NFL cities. as much as $160 million, they said.

“A lockout would have an impact beyond the players,” Atallah said.

We want to raise public consciousness of the effect [on communities] if the owners lock out the players.

The NFLPA has joined with the other workers in the stadiums and the rest of the union movement to fight management’s greed. Last month, the NFLPA announced that its members will fully affiliate with all AFL-CIO state federations and the central labor councils where their NFL teams are based.

The owners terminated the collective bargaining agreement two years ago because, they say, it isn’t working for them. But they refuse to provide audited financial information to explain what is wrong in a business that generated $9 billion in 2009 during the worst economic crisis since the Great Depression.

The owners are demanding that the players give back $1 billion, although not one team has lost money. They also want players to pay for team travel and the cost of running practice facilities.

On top of that, the owners have threatened to make the players pay for their own health care in case of a lockout. As it is, management provides only five years of health care coverage after players retire. Players’ NFL careers average only 3.4 years and many retire with a range of serious health problems. Not many people would argue that facing a 325-pound lineman running at full speed over and over could be dangerous to your health

This article was originally posted on AFL-CIO Now Blog.

About the Author: James Parks had his first encounter with unions at Gannett’s newspaper in Cincinnati when his colleagues in the newsroom tried to organize a unit of The Newspaper Guild. He is a journalist by trade, and worked for newspapers in five different states before joining the AFL-CIO staff in 1990. His proudest career moment, though, was when he served, along with other union members and staff, as an official observer for South Africa’s first multiracial elections. Author photo by Joe Kekeris

Court Blocks Hikes Sought by Massachusetts Health Insurance Corps.

Wednesday, April 14th, 2010

A Massachusetts court yesterday blocked premium increases—some as high as 40 percent—sought by six state health insurers. The action by the Suffolk Superior Court was the second time the insurance companies’ bid to boost rates was rejected. The state Division of Insurance rejected the rate hikes last month, calling them “excessive.”

The insurance companies then filed suit claiming the state has no authority to block the premium increases and sought an injunction to prevent the state from regulating premiums until the suit comes to trial. The judge rejected the request.

In an interview with the Boston Globe, Gov. Deval Patrick (D) praised the court’s decision.

Unless insurers can give us a good reason, when everything else is flat, that they deserve 20 percent, 30 percent and in some cases 40 percent increases, they’re going to be denied.

The judge said the Massachusetts companies must exhaust all their administrative appeals within the Insurance Division before the suit over the state’s ability to regulate premium costs can go forward.

The case is drawing national attention because, in 2006, Massachusetts passed a health care reform law that has several similar provisions to the recently enacted national health care reform law, including regulating premium increases.

In February, when Anthem Blue Cross in California announced it was raising premiums by as much as 39 percent, Secretary of Health and Human Services Kathleen Sebelius said, “Too many Americans are at the whim of private, for-profit insurance companies.”

Anthem Blue Cross’ parent company, WellPoint, posted $4.9 billion in profits in 2009. Sebelius said health insurance companies like WellPoint “are raking in billions in profits each year, while policyholders struggle to make ends meet in this tough economy.” In a letter to Anthem President Leslie Margolin, she demanded the company provide justification for the increases.

The extraordinary increases are up to 15 times faster than inflation. Your company’s strong financial position makes these rate increases even more difficult to understand.

Following public outcry, the company agreed to postpone the rate hikes until May, pending a review by an outside actuary appointed by the state insurance commissioner.

*This article originally appeared in AFL-CIO on April 13, 2010. Reprinted with permission.

About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journal and managing editor of the Seafarers Log. I came to the AFL- CIO in 1989 and have written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety. When my collar was still blue, I carried union cards from the Oil, Chemical and Atomic Workers, American Flint Glass Workers and Teamsters for jobs in a chemical plant, a mining equipment manufacturing plant and a warehouse. I’ve also worked as roadie for a small-time country-rock band, sold my blood plasma and played an occasional game of poker to help pay the rent. You may have seen me at one of several hundred Grateful Dead shows. I was the one with longhair and the tie-dye. Still have the shirts, lost the hair.

How Online Activists Ended Insurance Company Discrimination Against Women

Wednesday, March 31st, 2010

Last year, we ran a story about Peggy Robertson of Colorado. Robertsons’ health insurer, a subsidiary of UnitedHealth, had required that she be sterilized to receive health insurance. Peggy later testified before a Senate HELP subcommittee on insurance company discrimination against women, and told her story to millions on ABC Nightly News and on YouTube.

The committee Chair, Sen. Barbara Mikulski, reacted strongly to Robertsons’ testimony, calling it a bone-chilling and morally repugnant story of insurance company abuse. Today, the New York Times caught up with Robertson and asked for her reaction to the health care bills’ passage into law:

In a telephone interview on Friday, Ms. Robertson said: Barbara Mikulski told me, she promised me, This will never happen again. She did it. Its wonderful.

But it wasnt just Sen. Mikulski. Activists first mobilized in September, after discovering that domestic violence could be legally deemed a pre-existing coverage in eight states and the District of Columbia.

Online activists reacted by flooding Congress with petitions and emails and it paid off. The original House and Senate bill included specific language banning this practice.

In the months that followed, tens of thousands of SEIU online activists rallied against insurance company discrimination, sending thousands of personal emails to Congress. And even more signed petitions to Congress asking that they include language in the final bill to ban practices like gender rating and classifying domestic violence as a pre-existing condition.

Thousands more publicized this issue across social networks, taking their ticket and stating “I am not a pre-existing condition” on Twitter and Facebook.

We also rigged our phone system to direct calls into male members of Congress to educate them on gender discrimination by insurers.

Supporters joined the “I am not a pre-existing condition” Facebook group and wore t-shirts to the gym and around their neighborhoods.

And finally, bloggers and partner organizations (esp. the National Women’s Law Center) wallpapered the web with original reporting, thoughtful analysis and calls to action on ending insurance company discrimination against women. Blogs like Feministing, RH Reality Check, and Feministe fiercely reported on these stories and directed their readers to actions.

Together, we made history. Because of your activism, in four years, United States law will ban insurers from discriminating against women with higher fees, denial of coverage, and failure to provide coverage of critical procedures and services, like maternity care and c-sections.

*This post originally appeared in SEIU Blog on March 30, 2010. Reprinted with permission.

About the Author: Jessica Kutch is an online campaign manager for the Service Employees International Union (SEIU), where she directs the union’s new media campaign to win health insurance reform. She’s been organizing online since 2005, and has expertise in email advocacy, online advertising, social media and blogger relations.  Before joining SEIU, Jess managed online campaigns for Public Citizen’s Congress Watch division. She’s a graduate of Bennington College.

So, What's In the Reconciliation Bill?

Tuesday, March 23rd, 2010

The President signed the Senate health care bill into law at noon today.

This year, over 4 million small businesses will get tax credits worth up to 35% of their health care costs. This year, seniors will get $250 towards closing their coverage donut hole. This year, young Americans will be able to stay on their parent’s insurance plan until they are 26. This year, lifetime caps on benefits will be a thing of the past. And this year, the people with pre-existing conditions who can’t get health care now at any price will be able to buy into high-risk pools until the exchanges are set up in 2014.

But we are not done. Right after the House passed the health care bill on Sunday, they passed a package of improvements that now head to the Senate for an up-or-down vote.

The fixes heading to the Senate are mostly focused on making health care affordable to middle class families.

First, the package vastly improves the excise tax on “Cadillac” insurance plans, raising the threshold at which a plan will be affected to $10,200 for individual plans and $27,500 for family coverage. It also delays the implementation of the tax until 2018. As a result, the burden on middle tax families will be dramatically reduced.

To make up for the loss in revenue, the fixes broaden the Medicare payroll tax on on rich investors, taxing net investment income for those who make more than $250,000 per year.

And second, the package increases the subsidies available in the exchanges for middle class families and lowers their cost sharing. With the package, a lower percentage of a family’s income will be spent on health care costs – both premiums and out of pocket.

And there are more provisions in the package that would help broad swaths of the American public:

  • The package fully closes the donut hole for seniors over time
  • It freezes Medicare Advantage overpayments to private insurers and requires private insurers to pay 85% of money in to benefits in Medicare Advantage, to match the levels for all insurance plans in the health care bill
  • It strikes the deals Senators like Ben Nelson received and replaces them with increased Medicaid funding to all states
  • And it funds student loans for millions of young Americans

The Senate, after a string of favorable parliamentary rulings, is expected to take up the improvements under budget reconciliation rules today, with the goal of a final vote at the end of this week before the Easter recess.

*This post originally appeared in Health Care For America Now on March 23, 2010. Reprinted with permission.

About the Author: Jason Rosenbaum is a writer and musician currently residing in Washington D.C. He is interested in the intersection of politics and culture, media consolidation issues, and making sense out of our foreign policy disasters. He currently works for Health Care for America Now and he is also the webmaster for The Seminal.

What Health Reform Will Do for America - Two Examples

Friday, March 19th, 2010

Two headlines today highlight glaring problems in our health care system that would be fixed if health reform passes.

First, from Pennsylvania, the New York Times headlines “Big Insurance Rate Increase for Pennsylvania Poor”:

Facing a sharp rise in costs, Pennsylvania has almost doubled the monthly bill for a state health insurance program for poor people who do not qualify for Medicaid and are on a waiting list for a less costly option.

On March 1, the cost of the plan rose to about $600 a month, up from $313 a month, for the roughly 2,400 state residents on the waiting list.

Established in 2002, Pennsylvania’s state insurance program, called AdultBasic, covers adults ages 19 to 65 with incomes lower than twice the federal poverty level, or about $21,672 for a single person, at a cost to participants of about $36 per month. About 39,000 people are enrolled in AdultBasic.

About 390,000 other people are on a waiting list to join the AdultBasic program. While they wait, the state gives them the option to pay for the same insurance at a higher rate. It is the cost for members of the waiting list that rose on March 1 to about $600 a month.

Health reform solves this problem.

For families who make 133% of the Federal Poverty Level or less – about $24,000 per year – health reform would allow them to get on Medicaid. Those families who make more than that – up to 400% of the FPL or about $73,000 per year – will be able to purchase heavily subsidized insurance in the Exchanges.

For families making between 133% FPL and 200% FPL ($24,000 – $36,000 per year) – the people affected by Pennsylvania’s rate increase above – their average cost for insurance, both premiums and out of pocket, will be [pdf] around $63 per month for families at 133% up to $244 per month for families at 200%.

The next headline is from Kaiser Health News, “Drug Prices Rise For Seniors Who Reach Medicare Part D Coverage Gap”:

Seniors who hit the coverage gap in their Medicare prescription drug plans and must use their own money to buy drugs are facing price increases that are far outpacing inflation, a new study finds.

According to the Kaiser Family Foundation, prices paid by enrollees in standalone Part D plans who enter the coverage gap increased 5 percent or more since January 2009 for half of 10 brand-name drugs most commonly used by seniors. That’s almost twice the rate of inflation over the same period.

For example, the price of Actonel, a treatment for osteoporosis, increased 8 percent, from $91 per month in 2009 to $98 per month in 2010. Meanwhile, the prices for both Aricept, an Alzheimer’s medication, and Plavix, a drug used to prevent blood clots, both increased by 7 percent during the same period. Aricept’s prices rose from $184 to $198 while Plavix’s rose from $142 to $152. Lipitor, a cholesterol medication, was the only drug surveyed that decreased in price, from slightly more than $86 to just under $86 per month.

The rising prices are part of a longer is sufficient longer-term trend. Between January 2006 and January 2010, the analysis showed, prices of drugs bought by seniors who hit the coverage gap increased 20 to 25 percent for Lipitor, Plavix, Nexium, a drug for acid-reflux, and Lexapro, a medication for depression and anxiety; 39 percent for Actonel, and 41 percent for Aricept. Over the same period, inflation has increased 9.2 percent while prices for medical care have surged 16.1 percent.

Health reform solves this problem, too. Immediately after passage of the bill, seniors will get immediate relief that starts closing that coverage gap. The gap will be completely closed as health reform is implemented.

There are a few more noteworthy immediate affects of reform as well:

  • Prohibit pre-existing condition exclusions for children in all new plans;
  • Provide immediate access to insurance for uninsured Americans who are uninsured because of a pre-existing condition through a temporary high-risk pool; (this will help with the Pennsylvania situation as well)
  • Prohibit dropping people from coverage when they get sick in all individual plans;
  • Offer tax credits to small businesses to purchase coverage;
  • Eliminate lifetime limits and restrictive annual limits on benefits in all plans;
  • Require plans to cover an enrollee’s dependent children until age 26;
  • Require new plans to cover preventive services and immunizations without cost-sharing;
  • Ensure consumers have access to an effective internal and external appeals process to appeal new insurance plan decisions;
  • Require premium rebates to enrollees from insurers with high administrative expenditures and require public disclosure of the percent of premiums applied to overhead costs.

Reform will also help people like 11-year-old Marcelas Owens, who’s mother died because she didn’t have insurance:

And Matt Masterson’s son, who’s pre-existing condition makes him virtually uninsurable, a near death sentence as soon as he’s kicked of his father’s insurance plan in a few years:

Finally, today, the House Energy and Commerce Committee came out with numbers on how reform will help people in every Congressional district.

The vote is coming in the House. It’s likely to take place this weekend. Without reform, none of these problems get solved, and the insurance companies will get to continue their business practices of denying care and carving out coverage while making record profits.

It’s time to for the House to decide, and you should pick up the phone and help them.

*This post originally appeared in Health Care For America Now on March 17, 2010. Reprinted with permission.

About the Author: Jason Rosenbaum is a writer and musician currently residing in Washington D.C. He is interested in the intersection of politics and culture, media consolidation issues, and making sense out of our foreign policy disasters. He currently works for Health Care for America Now and he is also the webmaster for The Seminal.

Health Insurance Premiums Soar as New Polls Show Americans Want Reform

Friday, March 12th, 2010

Image: James ParksRecent polls show a majority of Americans want Congress to pass comprehensive health care reform now. And for good reason: There’s more news out this week about the enormous increases in health insurance premiums, according to a new report.

A survey from Economist/YouGov released this week shows 53 percent of respondents support changes proposed by the Obama administration. A second poll by Ipsos/McClutchey shows that 53 percent of Americans either support the current reform option or hope for an even stronger reform package. More than a third of those who oppose current reform proposals actually favor stronger reforms.

Meanwhile, a study by Health Care for America Now (HCAN) shows jaw-dropping insurance premium hikes—up 97 percent for families and 90 percent for individuals between 2000 and 2008. Premiums rose two times faster than medical costs and more than three times faster than wages. Companies like WellPoint are raising premiums by as much as 39 percent in California and by double digits in at least 11 states.

An analysis by the Kaiser Family Foundation found that people who bought insurance on their own between 2004 and 2007 on average paid more of their health expenses themselves—52 percent—than insurance companies. Yet those who had employer-sponsored coverage only paid 30 percent out of pocket.

The industry front group, America’s Health Insurance Plans (AHIP), heard plenty this week as thousands gathered in Washington, D.C., outside AHIP’s meeting to stage a citizens’ arrest for its crime in blocking health care reform.

Says Kaiser Family Foundation President Drew Altman:

The recent premium increases in the individual market probably have done more to illustrate the cost of doing nothing in health reform in simple, graphic terms people can understand than anything so far in the health reform debate.

*This article originally appeared in AFL-CIO blog on March 11, 2010. Reprinted with permission.

About the Author: James Parks had his first encounter with unions at Gannett’s newspaper in Cincinnati when his colleagues in the newsroom tried to organize a unit of The Newspaper Guild. He saw firsthand how companies pull out all the stops to prevent workers from forming a union. He is a journalist by trade, and worked for newspapers in five different states before joining the AFL-CIO staff in 1990. He has also been a seminary student, drug counselor, community organizer, event planner, adjunct college professor and county bureaucrat. His proudest career moment, though, was when he served, along with other union members and staff, as an official observer for South Africa’s first multiracial elections. Author photo by Joe Kekeris

VIDEO: 5,000 Activists Take the Fight for Reform Right to Insurance Companies' Doorstep

Thursday, March 11th, 2010

In DC yesterday, thousands of union members and health care activists from across the progressive movement took the fight for health care reform right to insurance companies’ doorstep. The massive protest started with a march from Dupont Circle to the Ritz-Carlton Hotel at 22nd and M Street, NW, led by more than 50 major labor organizations, health care reform activists, faith leaders, and 25 survivors of health insurance abuse.

Protesters flooded the streets and surrounded the site of the insurance lobbyists’ annual conference, where progressive leaders issued a peaceful citizens’ arrest of the insurance companies–while the dozens of law enforcement officials tried to rein in the huge crowd. Several progressive leaders who stood up on behalf of reform were escorted away by police (including SEIU’s Anna Burger and Dr. Toni L. Lewis).

It was truly a magnificent show of solidarity for reform. Watch this video footage for a taste of yesterday’s huge action:

More ways you can relive the March 9th citizens’ arrest of insurance companies after the jump.

Photos:

On Twitter:

  • The hashtag we created for today’s action, #m9, has been blowing up on Twitter all day. It’s been Twittered over 600 times so far, and it’s still going strong. Read the #m9 tweets here.
  • We live tweeted today’s action–check it out here.

Via media coverage & blogs:

Recap of what went down during the march on SEIU.org here.

More coverage also at Huffington Post, NY Times, Washington Post, DCist

More than 10,000 people have taken online action against insurance lobbyists on www.citizensposse.com, and sent over 2,500 faxes to the insurance companies’ fax machines so far. We know not everyone could be in DC to confront insurance lobbyists yesterday, but it’s not too late to do your part by spreading the message.

*This post originally appeared in SEIU Blog on March 10, 2010. Reprinted with permission.
About the Author: Kate Thomas is a blogger, web producer and new media coordinator at the Service Employees International Union (SEIU), a labor union with 2.1 million members in the healthcare, public and property service sectors. Kate’s passions include the progressive movement, the many wonders of the Internet and her job working for an organization that is helping to improve the lives of workers and fight for meaningful health care and labor law reform. Prior to working at SEIU, Katie worked for the American Medical Student Association (AMSA) as a communications/public relations coordinator and editor of AMSA’s newsletter appearing in The New Physician magazine.
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