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September 1, 2009

This is an epic clash about the radical lefts' health-care "reform" package that President Obama and his "fellow travelers" in Congress are trying to steamroll through the House and Senate by September. This legislation could cost as much as $1.5 trillion depending on whether the House or Senate version is passed. But, we believe these projections are worthless. When Medicare was passed in 1965, benefits were limited and retirees paid a substantial percentage of the costs of their own care. Even with these limitations, Congressional actuaries expected Medicare to cost $3.1 billion by 1970- it actually came in at $6.8 billion. These same experts predicted that Medicare would cost ONLY $9 billion a year in 1990. The actual cost was $66.6 billion. In 2008, Medicare costs were over $430 billion. Medicaid was supposed to be a last resort for the poor but now it covers more than 1/3 of all long-term care expenses in the United States. Its' annual bill is $227 billion and so far this fiscal year is rising by 17%.

We believe, and we are sure you believe, too, that any new federal or state health-care plan will inevitably follow the same trajectory, no matter what claims and guaranties are made. "Universal Health Care" sounds wonderful- but what does it really mean? Nothing can be universal without it being mandatory- in other words we are talking about forcing people to belong to whatever programs politicians and bureaucrats come up with regardless of what the people themselves prefer. We believe that Universal Health Care will become universal waiting lists and universal cuts in diagnostic equipment, access to specialists and availability of new drugs. We also believe that there will be universal rationing. What we really want and need is universal freedom and personal choice. Many of our citizens do not remember that America had by far the best health care system in the world until the federal government moved into the field in 1965. Medical care cost a fraction of today's prices, health insurance was significantly less expensive and doctors were a lot more accessible- some still came to your home.

President Obama has the art of dissembling down to a science. For example, "If you like your current health-care plan, you can keep it." Many White-House spokesmen have said that the President's oft-repeated pledge that you can keep your current insurance wasn't meant to be taken literally. We believe that millions of Americans-perhaps most Americans-if Reid and Pelosi get their way- will be forced to change insurance plans. First, the President wants an individual mandate- a requirement that every American buy health insurance-and he wants everyone to have the benefits government thinks you should have. This insurance could be more expensive or include benefits that people don't want or are morally opposed to such as abortion services. The bills now before Congress say that while you won't be "immediately" forced to switch from your current insurance to a government-specified plan, you will have to switch to satisfy the government's requirement if you lose your current insurance or want to change plans. Also the President wants to create a government insurance program that would compete with private insurance. But because this ultimately would be subsidized by American taxpayers, the government plan would keep its' premiums artificially low and offer greater benefits.

In the end, millions and millions of Americans will be forced out of the insurance they are using today and be driven into the public plan. The actuarial firm, The Lewin Group, estimates that as many as 118 million people, roughly 2/3's of those with insurance today, would be shifted from private to public coverage. We believe that number could go even higher.

Let your legislators know in advance that if they vote for this legislation they will pay a heavy price when they are up for re-election! Please pass this action call on to your employees and let us know of any suppliers or business entities you want us to contact and as usual send us a copy of your correspondence to your legislators.

Malcolm Lunn
Chairman of the Board
United Small Business of America

United Small Business
Proclaiming Liberty to America's Small Business
P O Box 3132 St. Charles, IL 60174 - unitedsmallbus1@comcast.net
Phone 877-791-7705 Fax 630-475-3844


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