McCain made a comment during his interview on "This Week" with George Stephanopoulos which I felt spoke to McCain being out of touch on the Healthcare issue as well.
What struck me funny was the notion that the only people effected adversely by his healthcare proposal were people with "Cadillac gold-plated health insurance policies". Is John suggesting that by taxing my employer's contributions, and giving me a $5,000 "refundable tax credit", that he would be saving me money over the one I get through my employer presently? Or will it not save me a dime, and possibly cost me more becuause he considers my healthcare to be "Gold Plated"?
Let's take a look at an actual healthcare plan to put this in perspective, run the numbers and you be the judge...
Some background on me...
I work for a medical equipment manufacturer, repairing Xray equipment in the midstate region of Tennessee. My wife Terry spends most of her time raising our 2 sons, but also has a part time job teaching at a local College. We have a combined income of about $70k, which averages out to just under $6,000 a month . I live in a $110k home, drive a Minivan, Terry drives a small pickup, and we consider luxuries to be the rare occasion when my inlaws babysit and we get to go out to dinner without kids. I just wanted to say this up front so nobody assumes I drive a Cadillac plated with precious metals.
This is what my employer and I contribute to my healthcare plan up front:
Here is a sample of the out of pocket terms of my plan:
To break those percentages down into a real life number, so far this year I have paid about $3,000 in copays, presciptions, & Hospital bills. Knowing that my 2 boys (ages 1 & 4) & my wife (living without a thyroid due to MEN2A) will continue to require healthcare, the charges are going to accumulate to, at least $3,500 barring any emergencies by the end of December. That is fairly conservative when keeping in mind that in previous years, due to childbirth, surgeries, and broken ankles, I spent well over $5,000 on the afforementioned.
Adding it all up, my healthcare costs a bit over $19,000 a year total. My employer pays in just under $12,000 and I pay just over $7000. I would expect a Cadillac plan to cut me a bit more slack on all those copays, but what say you? Am I driving a Coupe de Ville?
John McCain's Healthcare plan:
"John McCain Will Reform The Tax Code To Offer More Choices Beyond Employer-Based Health Insurance Coverage. While still having the option of employer-based coverage, every family will receive a direct refundable tax credit - effectively cash - of $2,500 for individuals and $5,000 for families to offset the cost of insurance. Families will be able to choose the insurance provider that suits them best and the money would be sent directly to the insurance provider. Those obtaining innovative insurance that costs less than the credit can deposit the remainder in expanded Health Savings Accounts"
What it doesn't say on his website, is that he would tax workers on money their employers pay for their premiums.
My concerns with this plan are:
- Employers would lose incentive to provide quality health benefits.
- It would end up raising my healthcare costs or forcing me to opt for a cheaper plan with less coverage.
- Those who do not have Employer based healthcare will still be unable to afford decent privately purchased healthcare even with the $5000 credit.
- It would eventually force me to find private insurance which could prove difficult due to my wife's lack of thyroid and the fact that one of my sons is genetically predisposed to have to have his removed as well.
So what do you think? Though I know I am probably preaching to the choir for the most part. I would appreciate any insight on the advantages of a McCain plan.
----Update----
Thank you for the Rescue!! I was mulling over ways I could have made it better today but I guess I made my point well enough to be noticed.
On The Poll:
I never expected to get so many votes for the Caddilac option, I guess I should be even more thankful for what I have. I can't imagine having to try to purchase private insurance or not being able to afford it at all, so I can see why some do see it as a pretty Golden plan.
Poignant Comments:
Charles CurtisStanley Makes a great point about pre-existing conditions and how his wife would not survive under a McCain plan.
Navy Vet Terp Points out that the McCain plan is a move towards eliminating employer provided healthcare.
Born In Texas Explains how McCain's plan will eliminate the barriers between states. The De-Regulator strikes again!!