Baucus unveils sweeping healthcare plan

Senate Finance Committee Chairman Max Baucus stepped to the forefront of the national debate over healthcare with a sweeping universal-coverage plan, pushing the issue to the top of the next Congress’s agenda.

“In 2009, Congress must take up and act on meaningful health reform legislation that achieves coverage for all Americans while also addressing the underlying problems in our health system,” the Montana Democrat said in a policy paper released Wednesday. “The urgency of this task has become undeniable.

{mosads}Under the Montana Democrat’s plan, all Americans would be required to hold a health insurance policy, going one step further than President-elect Barack Obama’s plan. Individuals could keep their existing health plans or join a nationwide insurance pool to buy coverage, the price tag of which would be reduced with government subsidies. Insurers would not be allowed to discriminate based on pre-existing conditions, a centerpiece of Obama’s plan.

Baucus’s plan comes after Sen. Edward Kennedy (Mass.), who chairs a key health committee, and other top Democrats have sent clear signals that the 111th Congress will attempt to enact a sweeping healthcare plan — despite the skyrocketing national debt. Obama has listed healthcare as a priority on his agenda, but he has suggested that a big push may wait until after the financial system stabilizes.

“President-elect Obama applauds Chairman Baucus’s work to draw attention to the challenges of the health system and looks forward to working closely with the chairman and other congressional leaders, as well as the American public, to make quality, affordable health care a reality for all Americans,” said Obama transition spokesman Tommy Vietor.

Under Baucus’s approach, coverage would be expanded under Medicaid and the State Children’s Health Insurance Program, which would ensure that children below 250 percent of the federal poverty level would be covered. People between the ages of 55 and 64 would be eligible for a Medicare buy-in, and the plan would phase out the current two-year period where individuals who have disabilities have to wait for Medicare coverage.

His plan will likely generate opposition from Republicans who say government should take a more limited role in the healthcare system. Legislative language has yet to be released.

Baucus argues that failing to act would double the national healthcare costs, which currently stand at $2 trillion.

“In short, we all must realize that the costs of inaction, both in human and financial terms, will eventually be far greater than any initial outlays,” Baucus said.