What Is Obama's Health Care Reform Proposal?

Question: What Is Obama's Health Care Reform Proposal?

Answer: One of President Obama's campaign pledges was to reform health care. Once elected, Obama proposed the Health Care for America Plan would provide medical insurance similar to Medicare for everyone who wants it. Those who are happy with their existing health insurance may keep it. The federal government's size means it can bargain for lower prices and reduce inefficiencies. By pooling all the uninsured together, it will decrease insurance risk. As a result, Obama's health care reform plan will lower health care costs by 1.5% per year.

The Health Care for America Plan covers mental health, maternal and child health. It limits annual out-of-pocket costs paid by enrollees and provides direct drug coverage.

Employers have a choice, as well. They can provide health insurance that is at least as good as Obama's health care reform proposal. Otherwise, they can pay a 6% payroll tax, similar to unemployment compensation, to help pay for the Obama plan. The self-employed pay a similar tax.

The payment schedule for everyone else is:

• $70 for an individual.
• $140 for a couple.
• $130 for a single-parent family.
• $200 for all other families.

Obama's Healthcare Reform Proposal has inspired the Congress to develop its own bills. The Senate Healthcare Reform Bill and the House Healthcare Reform Bill must be merged before being sent to President Obama for signature.