Sen. Baucus Details Support For Obama Health Plan

WASHINGTON--A key congressman in the debate on health care reform embraced President-elect Barack Obama's call today for guaranteed insurance coverage regardless of pre-existing conditions.

Sen. Max Baucus, chairman of the Senate Finance Committee, in a white paper also proposed setting up an insurance exchange, which he described in the white paper as a "sort of government-administered shopping center where people could go to buy coverage."

And, he went beyond President-elect Obama's proposal by saying his plan would require everyone to purchase health insurance once affordable options are available.

A spokesman for America's Health Insurance Plans said Sen. Baucus' call for reforming the health care system is consistent with what AHIP would support, but that the devil would be in the details, and they would have to wait to see exactly what Sen. Baucus proposed before supporting it.

"We need to have a system so that everyone in this country, regardless of pre-existing conditions, has access to health care coverage," said Robert Zirkelbach, an AHIP spokesman.

But, he said, AHIP "hasn't taken a position on how a program that guaranteed coverage to everyone would be created and administered."

He also noted that in the proposal for health care reform AHIP released last year, "we said that, if there is a requirement that everyone purchase coverage, health insurance plans could provide coverage to everyone on a guaranteed basis."

The Baucus plan calls for an end to the shifting of costs for care of the uninsured onto those who have health coverage.

He said it will bring down the average cost of insuring each American, which can help to make many individual premiums more affordable.

"Coverage of all Americans will also make reforms work better, from insurance market reforms to a cost-saving focus on preventive care," he said. "Those who cannot afford coverage will not be required to purchase it--there will be other options for them."

The plan also would help prevent people from waiting until they get sick to buy insurance.

Sen. Baucus' stance is different from that of Rep. Pete Starks, D-Calif., chairman of the Healthcare Subcommittee of the House Ways and Means Committee.

On Monday, Rep. Stark outlined several legislative proposals, but said he would defer to the incoming administration on health care coverage reform.

This morning, Rep. Stark and Rep. Charles Rangel, D-N.Y., issued a statement supporting the Baucus proposal. "We are heartened to see Sen. Baucus adding his voice to the chorus calling for health reform to be a top priority.

"His paper supports a number of principles we have pursued over time, including many of those on which President-Elect Obama campaigned," Reps. Stark and Rangel said.

"We are optimistic that we can reach a consensus on this critical issue," they added. "We look forward to working together with Sen. Baucus and other members of Congress, under the leadership of the Obama administration, to ensure affordable health care for all."

For his part, Rep. Stark said he will propose that the State Children's Health Insurance Program be expanded in ways similar to what Congress passed last year but which was vetoed by President Bush. He said he will move early next year to expand the program, or possibly try to attach it to any legislation that would be enacted in a lame-duck session, if that materializes.

Rep. Stark also said he will seek approval to exempt paying for $200-to-$300 billion in Medicare physician payments so current cuts in the system can be foregone. He said he will also seek to change the current payment system to provide help for primary care physicians.

A third priority, Rep. Stark said, is to pass health information technology legislation.