From FactCheck dot org. As always, follow the link for the full analysis:
Sounds good. But McCain failed to mention how existing employer-sponsored health benefits would be affected.
- Employers could no longer deduct the cost of health plans for their workers, which several experts say is likely to cause companies to reduce or eliminate health benefits for their employees.
- Workers would be taxed on the value of any employer-paid health benefits, partially offsetting the $5,000 credit for those now covered by such plans.
The aim of the McCain plan is to reduce health care costs through increased competition, by encouraging individuals to shop around for health insurance and medical care. There are many who favor such an approach, and we take no position on it one way or the other. But McCain’s simplistic ad misleads viewers by promising to give “every American family” a $5,000 benefit while failing to mention what he would also take away.
As I pointed out shortly after I started this blogging thingee, competition and health care are incompatible. Sick people are just not in the position to shop around for health care. They go where their doctors send them and do what their doctors tell them to do.
This could more properly be called the Rich Insurance Company Preservation Proposal.
God help that the rich should fail to get richer, while the middle class and the poor are still there to get poorer.