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Insurance Companies Increase Donations to Fight Breadth of Public Option in Reform

Just because there’s a congressional recess this month doesn’t mean that health reform is an off-topic issue. Public discourse is in full swing, be it in the form of private special interest ad blitzes, the ongoing droning of politicos and talking heads, or actions by the private third parties themselves. In particular, it’s the latter group (insurance companies) which perceives itself as having the most to lose if any semblance of a “public option” were to emerge. As some entities have reached varying forms of consensus with lawmakers on the pending legislation, it is the insurers which are filling the coffers of Republicans in both chambers at a breakneck pace in an effort to sway the vote away from potential agreements that will increase tax subsidies for beneficiaries under Medicare and Medicaid, but decrease insurers’ profits with the same demographic.

It certainly doesn’t help matters when the House Speaker publicly refers to Insurance as “villains” which “are doing everything in their power to stop a public option from happening”.

Pharma, hospitals, many large health plans, and some physician associations may feel less threatened by any pending legislation in spite of making significant congressional donations — probably because they are ensured of concessions in other areas regardless of the language on the reform bill. Still, some HMOs and insurance plans will probably continue to “look out for #1″ as the race to the bill’s passage rolls on. | LINK

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