Obama's Health Care Reform Proposal

President Obama is ready to reform the health care system. He has already proposed a $634 billion down payment on what he says is a moral and fiscal obligation. Let's take a look at what the Obama administration has proposed to try and fix America's failing health care system.

President Obama Wants a System Similar to Medicare

Early in the Obama presidency, President Obama quickly decided to give COBRA recipients a temporary reduced premium. But that is just the start. President Obama has proposed a $634 billion down payment to overhaul the U.S. health care system. President Obama is proposing a government run health care system similar to Medicare or the health care insurance that congress currently gets. By having a government health insurance, President Obama feels this would be a cost effective choice for Americans who currently cannot afford private health insurance.

More Competition and Less Costs

Since this proposed government run health insurance system would still let private insurance companies stay in business, in theory this would possibly help competition and bring down prices overall in the health insurance industry. Also, the Obama administration feels a government run insurance plan would be less costly due to lower administrative costs. He feels for these reasons and more that a government health insurance plan would help expand coverage and improve care for Americans.

Eliminate Pre-Existing Conditions and Portable Coverage

Another way that the Obama administration feels a government run health insurance plan would help expand coverage and improve care is that people would not be subject to the pre-existing conditions clause in most private insurance policies. What this means is that even people with cancer could possibly get health insurance when no one else would cover them. In addition, the Obama administration feels another added benefit of their proposed government run health insurance would be the ability to take your health insurance with you when moving or changing jobs.

President Obama May Succeed Where Clinton Failed

These health care reform proposals by President Obama are still in their infancy. Of course, as these proposals are reviewed by others, there will be critics. Fortunately President Obama has taken the time to reach out to others for options on how to progress with health care reform along with understanding the complexities of how health care reform will change America. For these reasons, along with America's failing health insurance system, so far, it looks as though President Obama will be much more successful at obtaining the much needed health care reform than President Clinton was in his presidency when a government run health care system was first proposed.