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Ocean State Action, as part of the Health Care for America Now campaign, released a new report today showing that consolidation in the private health insurance industry is creating skyrocketing premiums for both patients and employers. Rhode Island, where two insurance companies control 95 percent of the market, has the second-highest concentration among its top two insurers of any state in the country. The group said the report showed the need for Rhode Islanders and Rhode Island businesses to have the choice of a public insurance plan, and praised all four members of the state's congressional delegation for having endorsed such a plan as part of major health care reform.
See the full report here.
Health insurance premiums for Rhode Island working families have increased 83 percent from 2000 to 2007. At the same time, the median earnings of Rhode Island workers increased 17 percent, from $26,164 to $30,566. That means health insurance premiums for Rhode Island working families have risen 4.9 times faster than wages.
"When just a couple of companies hold a near-monopoly, they not only set the prices, but they also make the rules and call the shots," said Peter Asen, Associate Director of Ocean State Action. "Private health insurance companies have proven year after year they'll do whatever they want when left to their own devices. It's time for real comprehensive reform that includes regulation and the choice of a public health insurance plan so we are no longer at the mercy of the private health insurers in Rhode Island.""Our health care system is so complex, and costs so much, yet doesn't provide patients with the quality of care they desperately need," said U.S. Senator Sheldon Whitehouse, a member of the Health, Education, Labor and Pensions (HELP) Committee. "If we can make the system work better for everyone, we can cut costs, save lives, and improve the quality of the health care we receive - a critical step toward ensuring that all Americans have health care they can afford."
"We can no longer afford to rely on a system of fractured health coverage, limited choice and soaring costs." said Rep. Jim Langevin, who recently reintroduced the American Health Benefits Program Act, his universal health care plan. "The time has come for comprehensive reform that creates a truly inclusive, affordable and efficient health care model and guarantees coverage for all. I look forward to continuing to work with Ocean State Action and its HCAN partners as we work to achieve this crucial goal."
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News You Can Use in the Ocean State
- "More unionization would be good for economy," guest column by Robert Reich in the Providence Journal (February 2, 2009)
- "Class war being waged in Rhode Island," column by Jim Barron in the Pawtucket Times (January 26, 2009)
- "Gubernatorial Hoovers make it worse," guest column by Paul Krugman in the Providence Journal (January 6, 2009)
- "A call to prayer for legislators," column by Ed Fitzpatrick in the Providence Journal (January 1, 2009)
- "Guarantee health reform, not higher profits," guest column by Vivian Weisman in the Providence Journal (December 23, 2008)
Reports and Fact Sheets
Ocean State Action has compiled several reports and fact sheets relating to issues facing Rhode Island. These contain information that is essential to understanding the problems our state faces, and how we can responsibly fix them to make Rhode Island work better for everyone. The reports and fact sheets address, among other issues: the health care crisis in Rhode Island, including how it affects small businesses; tax and budget policy, with recommendations of how we can responsibly fix our state's budget deficit; and a report entitled "The Next New Deal," a comprehensive look at how the nation can get back on track for a 21st century economy. There are also links to reports and fact sheets compiled by other groups with info essential to all Rhode Islanders.
See reports and fact sheets here.
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Visit the Rhode Island Policy Reporter at What Cheer! for up-to-date policy analysis and reports.
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