re: #342 Syrah

It is true.

How can you expect insurance companies to compete against a government insurance option that is subsidized by the taxpayers?

Syrah, this is a lie being propagated by Republicans and by fake foundations like FreedomWorks that exist for little else but attacking the Dem agenda.

In Reality, Democrats Have Consistently Called For A Public Option That Will Provide The Private Sector With Healthy Competition

Senate Democrats Have Proposed That Public Health Care Should “Comply With All The Rules And Standards That Apply To Private Insurance” To Ensure That Private Insurance Can Compete. According to the New York Times: “In an effort to defuse the most explosive issue in the debate over comprehensive health care legislation, a top Senate Democrat has proposed that any new government-run insurance program comply with all the rules and standards that apply to private insurance. The proposal was made Monday by Senator Charles E. Schumer of New York, the third-ranking member of the Senate Democratic leadership, in a bid to address fears that a public program would drive private insurers from the market.” [New York Times, 5/5/09]

New York Times: Fears Of A Public Plan Putting Private Plans Out Of Business Are “Overblown.” According to the New York Times: “What many critics seem to fear most is that a new public plan would sweep away its private competitors and evolve over time into a full-fledged single-payer system (sometimes called Medicare for all). No matter how fair the competition between public and private plans might be at the start, they warn that the government would find it irresistible to rig the outcome through its regulatory and pricing powers and its ability, in a pinch, to subsidize the public plan with taxpayers’ money. That fear seems overblown. Innovative, nimble private plans with well-integrated service systems might outperform any government plan, just as some now outperform Medicare through better coordination of services, stronger preventive care and broader benefits. A new public plan is neither the cornerstone of health care reform nor the death knell of private insurance. It should be tried as one element of comprehensive reform.” [New York Times, 4/6/09; emphasis added]

Speaker Pelosi Is Looking For A Public Option To Make Private Insurers More Competitive. According to Bloomberg: “House Speaker Nancy Pelosi said the House this year will consider health-care legislation including an option for a government-run program that would compete with insurers. ‘This is a big agenda, and I believe it should have a public option in it for it to be really substantial,’ Pelosi told reporters at her weekly news conference in the U.S. Capitol. Pelosi said the Democratic-controlled House will be ‘aggressive’ in its approach to a health-care overhaul, which is a centerpiece of Obama’s agenda. She said a government role in health care will help U.S. companies be more competitive.” [Bloomberg, 3/26/09]