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Tag: “cost of doing nothing”

Virginian Family Premiums Run Amok Without Reform

By Jamiah Adams on July 24, 2009 2:17 PM
"Let me be clear: if we do not control these costs, we will not be able to control our deficit. If we do not reform health care, your premiums and out-of-pocket costs will continue to skyrocket. If we do not act, 14,000 Americans will continue to lose their health insurance every single day. These are the consequences of inaction. These are the stakes of the debate we're having right now."

That was President Obama on Wednesday. Today, we got further proof of the cost of doing nothing. Just look at the table released this morning by the Center for American Progress.

Within ten years, if we fail to address the rising cost of health care in the United States, the average health insurance premiums paid by families will nearly double, from $13,500 today to $22,400 in 2019. In addition to rising premiums, Americans lucky enough to have health insurance still face increasingly burdensome co-payments and out-of-pocket costs - the kinds of costs that you can't haggle away when you're in severe pain.

In Virginia, our premiums will increase from $13,439 in 2009 to $22,668 in 2019. Given that Virginia faces additional hurdles, such as the median yearly wage was $31,800 in 2007 yet the average health care premium being paid was $12,198-- this means premiums grew 4.1% faster than wages; 1,631,000 non-elderly will spend more than 10% of their pre-tax income on health care-- inaction in the face of economic danger is something we can ill afford - and yet, that's exactly what happens every day that we fail to push forward on reform. Read the entire Value of Reform Report here:

It doesn't have to be this way! The projections that CAP outlined don't have to come true. We can write a different story. We know how to "bend the curve" of increasing health costs. We can reform our health care system so that Virginians and all Americans have access to quality, affordable health care.

One way we're keeping the focus on reform is by joining with our friends at Fire Dog Lake in asking Virginia's Representatives in Congress to stay and work on passing health care legislation like H.R. 3200, "America's Affordable Health Choices Act," over the August recess [link to FDL petition]. Congress shouldn't take a three-week vacation when 14,000 Americans are losing their insurance coverage every day.

Let's make this happen. Virginia can't afford to do nothing about the rising costs of health care. Call Congress today and tell them, Virginians need reform now-- dial toll free 1-866-339-6321.

Tags: cost of doing nothing, H.R. 3200, no recess for the House without reform, Virginia

Cost of Doing Nothing: Tennessee

By SEIU Change That Works on February 26, 2009 10:41 AM
We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured.

Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive.

The urgent need for reform is more apparent now in Tennessee than ever. In the past eight years, health care premiums for family coverage have risen more than 5 times faster than wages. With 7.9% unemployed, many families are at risk of losing their health coverage. The message is clear: Tennessee's families urgently need Congress to take direct action on health care reform.

Supporting Facts


  • Health Insurance premiums in Tennessee increased by 61.9% from 2000 to 2007, while median earnings only increased a mere 12.1%. The median yearly wage in 2007 for Tennessee was only $25,639, but the average health care premium for a family was $10,606. This means that premiums grew 5.1 times faster than wages.

  • In Tennessee, approximately 1,301,000 non-elderly people spent more than 10% of their pre-tax family income on health care costs in 2008. 87% of those people have insurance, but are underinsured. 1,133,000 Tennessee residents with insurance spent more than 10% of their pre-tax income on health care costs, and 333,000 spend more than 25% of their income.

  • By 2016, projections show that Tennessee families will have to pay close to $19,400 for health care or over 44 percent of median household income. This would represent a 70 percent increase over 2008 levels.

  • In addition, more and more Tennessee residents have been forced into the exorbitantly expensive individual market, as unemployment reaches massive heights. As of December 2008, 241,183 Tennessee residents were unemployed. That reflects a loss of almost 90,000 jobs statewide last year alone, increasing the state unemployment rate by over 2.9 percentage points.

  • If the state keeps losing jobs at the rate it did last year, 384,425 people in Tennessee will be unemployed by 2010. 48.35% of insured Tennessee residents depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 69,259 Tennessee workers will lose their current health coverage, meaning that 28,684 more people will likely enroll in COBRA. That leaves 40,611 people who will have to enroll in Medicaid, fend for themselves on the private market, or become uninsured.

  • This year Tennessee faces a $1.4 billion budget shortfall. As of 2007, 29% of all state spending has gone to Medicaid and SCHIP. $7.5 billion went to spending on Medicaid alone.

  • As of 2007 there were already 126,186 uninsured children in Tennessee, and more than 714,361 uninsured adults. 276,378 of uninsured adults in Tennessee also live below the Federal Poverty Line. Tennessee's economy lost as much as $3.57 billion because of the poor health and shorter lifespan of the uninsured in 2007. That equates to $4,000 per uninsured Tennessee resident.

  • Of the top 10 employers in the state of Tennessee, 3 of them are Healthcare Providers. According to the US Census, 209,949 individuals work in the Heath Care Sector in the state & make an average of $3,886 per month, which accounts for $1.0 billion in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild Tennessee's economy.

Tags: COBRA, cost of doing nothing, economic crisis, economic recovery, healthcare, healthcare crisis, healthcare reform, medicaid, schip, state funding, uninsured

White House Budget Suggests "Health Care is a Go"

By Jessica Kutch on February 25, 2009 5:08 PM

Last night, President Obama told Congress that America cannot afford to wait in fixing its health care system. He also reminded us that while fixing our system will not come cheaply, the cost of doing nothing is far greater:

"None of this will come without cost, nor will it be easy, but this is America. We don't do what's easy. We do what's necessary to move this country forward, and for that same reason, we must also address the crushing costs of health care. This is a cost that now causes a bankruptcy in America every 30 seconds. By the end of the year, it could cause 1.5 million Americans to lose their homes. In the last eight years, premiums have grown four times faster than wages, and in each of these years, 1 million more Americans have lost their health insurance. It is one of the main reasons why small businesses close their doors and corporations ship jobs overseas, and it is one of the largest and fastest-growing parts of our budget. Given these facts, we can no longer afford to put health care reform on hold. We can't afford to do it. It's time."

Today, news reports suggest that the president intends to make a serious investment in fixing, once and for all, our broken health care system. According to the Associated Press, the White House budget includes $634 billion for health care over the course of 10 years. The report continues:

"A senior administration official says Obama's budget calls for financing the overhaul by trimming Medicare spending and limiting tax deductions for upper-income earners. The official spoke on condition of anonymity because the budget won't be released until Thursday."

So far, it's been a great week for the movement to fix health care. But we've got to keep building our movement if we want to make real reform happen this year. If you haven't already, get involved by adding your name to "keep health care on the map" as Obama brings his budget to Congress.

Tags: budget, cost of doing nothing, health care map, healthcare, healthcare crisis, healthcare reform, President Obama, White House

Cost of Doing Nothing: North Dakota

By SEIU Change That Works on February 25, 2009 5:03 PM
We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured. Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive. The urgent need for reform is more apparent now in North Dakota than ever. In the past eight years, health care premiums for family coverage have risen more than twice as fast as wages. With 3.5% unemployed, many families are at risk of losing their health coverage. The message is clear: North Dakota's families urgently need Congress to take direct action on health care reform.

Supporting Facts


  • Health Insurance premiums in North Dakota increased by 74.3% from 2000 to 2007, while median earnings only increased a mere 26.4%. The median yearly wage in 2007 for North Dakota was only $24,255, but the average health care premium for a family was $10,674. This means that premiums grew 2.8 times faster than wages.

  • In North Dakota, approximately 155,000 non-elderly people spent more than 10% of their pre-tax family income on health care costs in 2008. 89% of those people have insurance, but are underinsured. 138,000 North Dakotans with insurance spent more than 10% of their pre-tax income on health care costs, and 48,000 spent more than 25% of their income.

  • By 2016, projections show that North Dakota families will have to pay around $20,000 for health care or over 41 percent of median household income. This would represent an 76 percent increase over 2008 levels.

  • In addition, more and more North Dakotans have been forced into the exorbitantly expensive individual market, as unemployment reaches massive heights. As of December 2008, 12,848 North Dakota residents were unemployed. That reflects a loss of over 1,078 jobs statewide last year alone, increasing the state unemployment rate by over .3 percentage points.

  • If the state keeps losing jobs at the rate it did last year, 14,025 people in North Dakota will be unemployed by 2010. 66% of insured North Dakotans depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 630 North Dakota workers will lose their current health coverage, meaning that 235 more people will likely enroll in COBRA. That leaves 395 people who will have to enroll in Medicaid, fend for themselves on the private market, or become uninsured.

  • As of 2007, 14% of all state spending has gone to Medicaid and SCHIP. $513 million of North Dakota's budget went to spending on Medicaid alone.

  • As of 2007 there were already 14,305 uninsured children in North Dakota, and more than 53,677 uninsured adults. 16,927 of uninsured adults in North Dakota also live below the Federal Poverty Line. North Dakota's economy lost as much as $269 million because of the poor health and shorter lifespan of the uninsured in 2007. That equates $4,400 per uninsured North Dakota resident.

  • Of the top 10 employers in the state of North Dakota, 8 of them are Healthcare Providers. According to the US Census, almost 42,000 individuals work in the Heath Care Sector in the state & make an average of $3,264 per month, which accounts for $137 million in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild North Dakota's economy.

Tags: COBRA, cost of doing nothing, economic crisis, economic recovery, healthcare, healthcare crisis, healthcare reform, medicaid, North Dakota, schip, state funding, uninsured

Cost of Doing Nothing: Iowa

By SEIU Change That Works on February 25, 2009 4:36 PM
We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured.

Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive.

The urgent need for reform is more apparent now in Iowa than ever. In the past eight years, health care premiums for family coverage have risen almost 4 times faster than wages. With 4.6% unemployed, many families are at risk of losing their health coverage. The message is clear: Iowa's families urgently need Congress to take direct action on health care reform.

Supporting Facts


  • Health Insurance premiums in Iowa increased by 72.6% from 2000 to 2007, while median earnings only increased a mere 18.5%. The median yearly wage in 2007 for Iowa was only $26,247, but the average health care premium for a family was $11,194. This means that premiums grew 3.9 times faster than wages.

  • In Iowa, approximately 701,000 non-elderly people spent more than 10% of their pre- tax family income on health care costs in 2008. 91% of those people have insurance, but are underinsured. 638,000 Iowans with insurance spent more than 10% of their pre-tax income on health care costs, and 172,000 spend more than 25% of their income.

  • By 2016, projections show that Iowa families will have to pay over $21,000 for health care or over 39 percent of median household income. This would represent a 76 percent increase over 2008 levels.

  • In addition, more and more Iowans have been forced into the exorbitantly expensive ndividual market, as unemployment reaches massive heights. As of December 2008, 77,080 Iowa residents were unemployed. That reflects a loss of over 13,100 jobs statewide last year alone, increasing the state unemployment rate by 0.8 percentage points.

  • If the state keeps losing jobs at the rate it did last year, 92,989 people in Iowa will be unemployed by 2010. 59% of Iowans depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 9,126 Iowa workers will lose their current health coverage, meaning that 3,182 more people will likely enroll in COBRA. That leaves 5,944 people who will have to enroll in Medicaid, fend for themselves on the private market, or become uninsured.

  • This year Iowa faces a $134 million budget shortfall, and has already depleted its budget stabilization rainy day fund. As a result, the state has instituted a hiring freeze on public employees. As of 2007, 17% of all state spending has gone to Medicaid and SCHIP. $2.6 billion went to spending on Medicaid alone.

  • As of 2007 there were already 41,361 uninsured children in Iowa, and 248,817 uninsured adults. 89,178 of uninsured adults in Iowa also live below the Federal Poverty Line. Iowa's economy lost as much as $1.2 billion because of the poor health and shorter lifespan of the uninsured in 2007. That equates $4,335 per uninsured Iowa resident.

  • Of the top 10 employers in the state of Iowa, 4 are Healthcare Providers. According to the US Census, 142,870 individuals work in the Heath Care Sector in the state & make an average of $3,256 per month, which accounts for $466 million in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild Iowa's economy.

Tags: COBRA, cost of doing nothing, economic crisis, economic recovery, healthcare, healthcare crisis, healthcare reform, Iowa, medicaid, schip, state funding, uninsured

Cost of Doing Nothing: Florida

By SEIU Change That Works on February 25, 2009 4:26 PM
We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured.

Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive.

The urgent need for reform is more apparent now in Florida than ever. In the past eight years, health care premiums for family coverage have risen more than three times faster than wages. With 8.1% unemployed, many families are at risk of losing their health coverage. The message is clear: Florida's families urgently need Congress to take direct action on health care reform.

Supporting Facts


  • Health Insurance premiums in Florida increased by 72.0% from 2000 to 2007, while median earnings only increased a mere 20.2%. The median yearly wage in 2007 for Florida was only $27,353, but the average health care premium for a family was $11,720. This means that premiums grew 3.6 times faster than wages.

  • In Florida, approximately 3,873,000 non-elderly people spent more than 10% of their pre-tax family income on health care costs in 2008. 79.7% of those people have insurance, but are underinsured. 3,087,000 Florida residents with insurance spent more than 10% of their pre-tax income on health care costs, and 883,000 spend more than 25% of their income.

  • By 2016, projections show that Florida families will have to pay close to $22,400 for health care or over 43 percent of median household income. This would represent a 76 percent increase over 2008 levels.

  • In addition, more and more Florida residents have been forced into the exorbitantly expensive individual market, as unemployment reaches massive heights. As of December 2008, 751.753 Florida residents were unemployed. That reflects a loss of over 336,000 jobs statewide last year alone, increasing the state unemployment rate by over 1 percentage point.

  • If the state keeps losing jobs at the rate it did last year, 1,360,143 people in Florida will be unemployed by 2010. 46.38% of insured Florida residents depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 282,168 Florida workers will lose their current health coverage, meaning that 121,678 more people will likely enroll in COBRA. That leaves 160,490 people who will have to enroll in Medicaid, fend for themselves on the private market, or become uninsured.

  • This year Florida faces a $5.7 billion budget shortfall, and as a result, the state government has implemented a hiring freeze on state employees. As of 2007, 20% of all state spending has gone to Medicaid and SCHIP. $14.6 billion went to spending on Medicaid alone.

  • As of 2007 there were already 843,006 uninsured children in Florida, and more than 2,840,918 uninsured adults. 1,190,935 of uninsured adults in Florida also live below the Federal Poverty Line. Florida's economy lost as much as $14.55 billion because of the poor health and shorter lifespan of the uninsured in 2007. That equates $4,000 per uninsured Florida resident.

  • Of the top 10 employers in the state of Florida, 4 of them are Healthcare Providers. According to the US Census, 814,904 individuals work in the Heath Care Sector in the state & make an average of $3,876 per month, which accounts for about $3.2 billion in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild Florida's economy.

Tags: COBRA, cost of doing nothing, economic crisis, economic recovery, Florida, healthcare, healthcare crisis, healthcare reform, medicaid, schip, state funding, uninsured

Cost of Doing Nothing: California

By SEIU Change That Works on February 24, 2009 4:48 PM
We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured.

Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive.

The urgent need for reform is more apparent now in California than ever. In the past eight years, health care premiums for family coverage have risen 5 times faster than wages. 9.3% unemployed, many families are at risk of losing their health coverage. The message is clear: California's families urgently need Congress to take direct action on health care reform.

Supporting Facts


  • Health Insurance premiums in California increased by 95.8% from 2000 to 2007, while median earnings only increased a mere 19.3%. The median yearly wage in 2007 for California was only $30,702, but the average health care premium for a family was $12,194. This means that premiums grew 5.0 times faster than wages.

  • In California, approximately 6,555,000 non-elderly people spent more than 10% of their pre-tax family income on health care costs in 2008. 77.25% of those people have insurance, but are underinsured. 5,064,000 Californians with insurance spent more than 10% of their pre-tax income on health care costs, and 1,321,000 spend more than 25% of their income.

  • By 2016, projections show that California families will have to pay close to $25,500 for health care or over 41 percent of median household income. This would represent a 90.3 percent increase over 2008 levels.

  • In addition, more and more Californians have been forced into the exorbitantly expensive individual market, as unemployment reaches massive heights. As of December 2008, 1,731,800 California residents were unemployed. That reflects a loss of over 652,000 jobs statewide last year alone, increasing the state unemployment rate by over 3 percentage points.

  • If the state keeps losing jobs at the rate it did last year, 2,778,504 people in California will be unemployed by 2010. 48.35% of insured Californians depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 506,110 California workers will lose their current health coverage.

  • While 209,349 people will likely enroll in COBRA, which lets workers who lose their jobs continue their health benefits at their own expense, the high cost of COBRA will force an estimated 296,761 people to enroll in Medicaid, fend for themselves on the private market, or become uninsured.

  • This year California faces a $35.9 billion budget shortfall. As a result, the state has already proposed cuts that will cause more than 429,000 adults to lose health coverage. As of 2007, 19% of all state spending has gone to Medicaid and SCHIP. $35.4 billion went to spending on Medicaid alone.

  • As of 2007 there were already 1,232,218 uninsured children in California, and more than 5,360,938 uninsured adults. 1,780,823 of uninsured adults in California also live below the Federal Poverty Line. California's economy lost as much as $32 billion because of the poor health and shorter lifespan of the uninsured in 2007. That equates $4,900 per uninsured California resident.

  • Of the top 10 employers in the state of California, 1 of them is a Healthcare Provider. According to the US Census, 1,172,614 individuals work in the Heath Care Sector in the state & make an average of $4,320.26 per month, which accounts for $5.06 billion in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild California's economy.

Tags: California, COBRA, cost of doing nothing, economic crisis, economic recovery, healthcare, healthcare crisis, healthcare reform, medicaid, schip, state funding, uninsured

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