Comparing Co-ops to a Public Plan

The health reform bill awaiting action in the United States House of Representatives (HR 3200) includes a public health insurance plan, which would be sold to customers who shop for coverage in a newly-created Insurance Exchange.

Under the House bill, small employers, the self-employed, and the uninsured would be permitted to utilize the Insurance Exchange for this purpose.

The so-called "public plan" has been criticized as a "government take-over of health care".  This is a gross exaggeration; according to the Congressional Budget Office (CBO) only 3-4 percent of Americans are expected to become enrolled in a public plan by 2016 were such to be offered.

In the health reform bill under consideration in the Finance Committee of the United States Senate, no public plan is included.  Several Committee members have instead proposed the formation of co-operatives that would insure customers. 

How do insurance co-operatives stack up against a public plan?  That was the topic of an August 17th interview of Dr. Timothy Stoltzfus Jost by the New York Times.  To find out more, click on the link.