Pro-Con: Should health-care reform include a government insurance program that competes with the private sector? No
Proponents want to create a government health insurance program that
would be available to working Americans and their families, arguing it
would be more efficient than private insurance.
Opponents fear
that it is a straight line to a government-run health system by putting
private insurers out of business. Congress would give the government
plan the power to dictate prices so it could artificially under-price
private plans and drive them out of this “marketplace.”
Many people then would be left with little or no choice, as employers
would drop their coverage and send their workers into the public plan.
This massive crowding out of private insurance would undermine the employment-based coverage of most Americans under age 65.
Once
private plans have been driven out, people will realize that the
government plan will not be able to sustain the quality and quantity of
benefits promised. Government will begin to ration care and services,
driving out innovation.
Grace-Marie Turner, the Galen Institute
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