Senate Debates National Health Insurance, a Lasting Legacy of the New Deal

The Senate yesterday began debating national health insurance, the final unfinished business of the New Deal era, with Majority Leader George J. Mitchell and Minority Leader Bob Dole exchanging words of cooperation and confrontation. Despite their sincerity, deep divisions on the issues promise to make the debate contentious. At the heart of the discussion is the Mitchell bill, which aims to achieve universal coverage by subsidizing the poor, requiring employers to offer health insurance, and promoting competition in the health care industry. Republicans, on the other hand, have introduced a contrary measure with a lower level of subsidies, no required insurance purchases, and a slimmer Federal role.

Key Takeaways:

• The Senate debate began with Majority Leader George J. Mitchell, advocating for guaranteed, private health insurance to provide high-quality health care for every American family.
• Minority Leader Bob Dole countered that the Mitchell bill would menace the quality of American medicine by giving an excessive role to the Government.
• The Mitchell bill seeks to achieve universal coverage by subsidizing the poor, especially children and pregnant women, and then perhaps by requiring employers to offer health insurance to their workers and pay half their premiums.
• The Congressional Budget Office reported that the bill would quickly raise the percentage of insured Americans from the current 85 percent to 95 percent by 1997, with a commission recommending how to get the remaining Americans covered if 95 percent is reached by 2000.
• Republicans, including Senator Bob Packwood of Oregon, argue that the Mitchell bill ignores certain fundamentals of the marketplace, such as competition and price controls.
• Senator Edward M. Kennedy of Massachusetts argues that the need for national health insurance is even greater today, with costs escalating and more Americans facing financial ruin due to medical expenses.
• The debate comes as the House hopes to take up a companion bill next week, with rumors spreading that new delays may be possible.

Statistics:

• The Congressional Budget Office estimates that the bill would raise the percentage of insured Americans from 85 percent to 95 percent by 1997.
• The Mitchell bill would require employers with 26 or more workers to offer health insurance and pay 50 percent of their premiums if Congress fails to enact a plan that reaches universal coverage.
• The House has already put off consideration of the companion bill by a week, cutting into its summer vacation.

Sources:

• "The New York Times," June 25, 1994
• Congressional Budget Office, June 22, 1994