| Health Insurance Cooperatives Are Another Alternative
Of all the options on the table regarding health care reform, one we have not heard much about is health insurance cooperatives. Back in June, Sen. Kent Conrad (D-ND) raised the proposal of a nonprofit health insurance cooperative to replace a public health care plan. According to a quote on The Wonk Room website, Conrad said that a health insurance cooperative “would have the same plans and would be subject to the same standards" as private insurance plans, and that a cooperative “would provide an alternative to for-profit insurance companies." A “cooperative," as defined by the International Co-operative Alliance, is an autonomous group of people who come together voluntarily to meet their mutual economic, social, and cultural needs by forming a jointly-owned and democratically controlled entity.
Summit Credit Union takes hit to pay off insurance fund
Credit unions have the option of spreading the insurance payments over eight years. In the case of Madison-based Summit, doing it all at once means a $9.2 million subtraction from net income in 2009. Without the allocation for the national deposit insurance fund, Summit's net income through June 30 would have been $5.8 million. Kim Sponem, president of Summit, said credit union leaders think they still can finish in the black this year and don't want the special insurance fund assessment hanging over their heads annually for the next eight years. So Summit has set aside the whole estimated total, although it still could change its mind before the end of the year. "For now, we're taking the conservative approach," Sponem said. "We're making money, we're growing, we are doing better than our net income budget if you take that (insurance fund expense) out.
Weekly remarks: Hatch and Obama both discuss healthcare reform
This week, I've been traveling across our country to discuss health insurance reform and to hear directly from folks like you – your questions, your concerns, and your stories. Now, I know there's been a lot of attention paid to some of the town hall meetings that are going on around the country, especially those where tempers have flared. You know how TV loves a ruckus. But what you haven't seen – because it's not as exciting – are the many constructive meetings going on all over the country where Americans are airing their hopes and concerns about this very important issue. I've been holding some of my own, and the stories I've heard have really underscored why I believe so strongly that health insurance reform is a challenge we can't ignore. They're stories like Lori Hitchcock's, who I met in New Hampshire this week.
Insurance for farmers in question
Another costly issue, though, is brewing in agriculture: health insurance for farmers. When Congress returns from its summer recess in early September, lawmakers will have to contend with how an overhaul of the nation's health care system would affect farm families, who often have to shop around for private plans that are expensive and hard to obtain. In some cases, though, health insurance comes through bargaining cooperatives that sell milk or other goods on behalf of farmers. Dairylea Cooperative Inc., Syracuse, the north country's dominant cooperative, has been lobbying on the issue in an effort to protect its plan as part of any new system. "We need to ensure our health care program can continue to operate and compete on a level playing field so our members have access to affordable, comprehensive health coverage that meets the needs of farmers," Max Gannon, president of Agri-Services Agency, a Dairylea subsidiary, said in a press release.
|
