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Wednesday, April 06, 2005

Schwarzenegger's health care policy is for sale


Jane Morrison at the Schwarzenegger Rally, April 5th
photo by Ruben Garcia, SEIU Local 790


Rachel Brahinsky, a reporter at SF Bay Guardian, wrote a terrific feature article critiquing the so-called reform effort of the workers compensation laws by Schwarzenegger. She also makes a strong case for universal health care as the better answer to the rising costs from worker's compensation claims. Schwarzenegger’s approach to the problem was to blame the patient, not the rise of health care costs, and he made it easier for patients to be denied care for their injuries by insurance companies and to limit care for chronic injuries.

While in office, Schwarzenegger “reformed” three major areas that hurt patients but financially benefited pharmaceutical companies, health care insurance companies, and hospitals. In the last year, Schwarzenegger vetoed legislation that would have made it easier to buy prescription drugs from Canada, unilaterally changed nursing to patient ratios from 5 to 1 to 6 to 1, and changed workers compensation laws to make it easier for claims to be denied.

When Schwarzenegger wants to reform something, follow the money

After the veto of the prescription drug bill, the Pharmaceutical Research and Manufacturers of America Alliance became one of Schwarzenegger’s key financial supporters. Schwarzenegger’s work on behalf of the insurance companies has netted similar results. Brahinsky notes that Schwarzenegger is also getting substantial contributions from insurance companies and worker’s compensation firms for his ballot initiatives.

His various committees have taken in more than $1.2 million from insurance companies, including at least $560,000 from workers' compensation firms, according to an analysis by the Santa Monica-based Foundation for Taxpayer and Consumer Rights (FTCR).

and later she writes:

From this perspective, the "reforms" start to look more like a massive corporate-bailout scheme: keep rates unregulated and give the insurance companies the right to cut costs any way they can.


The need for real health care reform

The most important part of the article is Brahinsky’s analysis on what the long term implications are for our health care system and our society in general.

While it's all sorted out, injured people will still need support, and the already overtaxed county hospitals and social welfare systems will have to bear some of the burden – even as they themselves are under assault. With the shredding of the safety net in full effect, what was once a financial muddle for a handful of insurance companies will become a crisis of far grander proportions: an injured public, without access to health care or a way to pay for a roof over their heads.


I just came back from Hawaii, a state that has employer mandated insurance since 1974. Their system is essentially the same as the one created by SB2, the initiative that former State Senator John Burton was pushing last year. Several countries like Japan and Canada provide basic health care for their citizenry. In Japan, health care is considered a right and in Canada they have implemented the single payer system. Currently there are plans in the works to create an employer mandated program in San Francisco. Given the pending cuts to our local Public Health department, it makes a lot of sense. When corporations run our health care system and can buy politicians like Schwarzenegger, they will always look for ways to make money at the expense of good health care policy.

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