SusanCampriello: My Works

A new public health plan was announced Wednesday at a press conference attended by leaders of public action groups, medical societies and health care professionals, who generally supported the plan but voiced some concerns.

Richard N. Gottfried (D-Manhattan), chair of the Assembly Committee on Health, unveiled the new plan, New York Health Plus, which would guarantee health coverage and decrease coverage spending for all New Yorkers by $4 billion a year.

Estimates say that employers and individuals spend $63 billion a year in premiums, deductibles and co-payments. Under the new plan, the cost to the State would be only about $59.2 billion.

Enrollment in the plan would be optional, however, private individuals and employers that provide coverage for employees who opt in would be able to chose their own participating health care providers or a public provider, like Medicare. If adopted, employers would no longer have to provide health coverage to employees, and instead pay a premium, which would be set by the State.

Gottfried said that he hoped the lower cost, which would be below current rates, would entice individuals and companies to join the plan, but acknowledged that enrollment would likely be small at first, and then evolve over time as it attracts providers and subscribers.

Because the plan would be funded by taxes and taxpayers, Gottfried trusts that coverage would be accountable to the public and not shareholders, holding costs to a minimum. He stressed that pressures from the bottom up would balance pressures from the top down, ensuring that the State and providers will agree upon the best price and coverage for those enrolled.

“Currently insurance companies pay what the market will bear,” Gottfried said, noting that he believes the government can run a health care system for less money than the current, employer-based system. Raising costs for employers has forced many to stop providing health care to employees, he pointed out.“The vast majority of New Yorkers will have higher take-home pay,” he said.

The real audience for the plan, Gottfried admitted, is Governor Spitzer, who, in July of this year announced that he would develop what he called “a partnership for universal health care coverage,” which would involve taking steps towards increasing Child Health Plus eligibility, streamlining Medicaid enrollment and monitoring Medicaid spending and growth, ultimately ensuring health coverage to all 400,000 New Yorkers.

New York Health Plus was built to expand open the Family Health Plus and Child Health Plus, existing State programs for individuals who do not have health insurance but do not qualify for Medicaid. But to make the new plan attractive, it must appeal to residents who do receive health coverage on their own or from employees.

“Unless it is for all of us, I don’t think it is politically realistic,” Gottfried said to a smattering of applause, arguing that smaller plans—plans that are less inclusive—would not attract the 96 percent of voters who have coverage and would not otherwise vote for a measure that would take their money but offer nothing in return.

Representatives of groups in attendance, including the Commission on the Public’s Health System, the Metro New York Health Campaign, Rekindling Reform and the Academy of Family Physicians voiced support for the plan because it offers coverage to the currently uninsured as well as benefits for New Yorkers with insurance.

Many called the plan a step in the right direction, saying that any move towards implementing a public health system, accessible to and including all New Yorkers should be applauded.

“New York Health Plus sets the bar for any health care program that’s adopted by New York State,” Pamela Bennett, director of Citizen Action of New York City, said of the proposed plan. “New York Health Plus would make New York a much more healthy place to live, work and do business,” she continued.

But others did not see the plan as a finished proposal, but more of a jumping-off point for other plans.

Mark Hennay, director of Metro New York Health Care for All Campaign, called the plan “the beginning of a conversation,” between the State Assembly and Senate and his and similar groups that would lead towards broad and comprehensive health care reforms.

The New York Health Plus plan, as written, does not state a plan for how to raise revenue to support the system. The plan does not quote tax deductions for those who opt out of the plan, as they would still have to support it to a certain degree. But, larger companies and wealthier individuals who join the plan would have to pay more to support the plan than small businesses and less wealthy individuals. Deductions would depend on how the agreement is constructed, Gottfried said.

Vitto Grasso, the executive vice president of New York State Academy of Family Physicians, called for an amendment to the multi-payer plan to allow physicians to negotiate with the State to “streamline and foster uniform administrative procedures among the many managed care plans that would participate in New York Health Plus.”

“Collective bargaining between physicians and the State should include discussion of ways to reduce excessive medical liability costs,” he said in his statement.

“Overall,” Grasso said, “the proposal represents a very positive approach.”

Richard N. Gottfried discusses New York Health Plus