Individual Health Insurance Mandate?
Aetna CEO Ron Williams recently called for health care reform to include a mandate to purchase individual health insurance. He stated
“Some people can afford health insurance and choose not to be covered,” he said. “Others should get a tax subsidy or credits to purchase insurance.”
Williams went on to state that nearly 20% of uninsured Americans (9 million) earn more than $75,000 per year, and should be able to afford health insurance but choose not to. Another 10% are college students.
Health care costs can be better controlled if more people are insured and if a health plans risk pool is more evenly distributed between healthy and sick individuals. If Healthy people choose not to be covered because they don’t utilize the benefits, and only people who desperately need health insurance purchase it, the cost of coverage becomes much higher.
Williams also commented on Senator McCain’s health care proposal stating that while it contains some good points, the tax incentives it would clearly weaken the employer-sponsored health care system which is the backbone of the market.
