Into the breach, dear friends...The Senate passes their bill...

Has anyone considered that the new Healthcare de-evolution bill that just passed the Senate may do for the insurance industry what the Community Reinvestment Act did for the banking industry?

In short, The Community Reinvestment Act required lending institutions to lend money to marginal characters living in even more marginal geographical areas. In time, this degenerated into the lending of money to people who began playing fast and loose, speculating on real estate with other people’s money. The insurance industry is on track to become like the banking and savings and loan industry when the government mandates are implemented and activated. We will see people who presently are unable to qualify for policies in the free market for many reasons, forced into that market at bayonet point (by the government) and private companies forced to sell them health insurance policies. The private insurers will be compelled to do so at that same governmental “bayonet point”. Meanwhile, as the persons with pre-existing conditions draw on the system, causing a corresponding increase in costs, the private insurers will loose billions of dollars due to extra claims, increasing the cost for the rest of the pool which will rise to cover those additional costs. So we will see nearly all Americans forced to pay into a system by force of law and see them additionally forced to pay what is in effect a ‘tax’ for healthcare to private insurers that will rise as the load increases.

What could very well happen is that people, who were paying their own way, will reach the breaking point when the costs become too great and simply opt out of the whole private health insurance system and pay the fine for non-compliance to the government rather than pay ever increasing premiums. That point could be reached relatively quickly for America’s employers who pay a large share of healthcare costs for their employees. As the costs rise to cover the additional costs of those who are brought on board due to federal mandate, employers may simply drop their employee’s coverages and pay the fines for not covering them. Young, healthy people who before didn’t pay at all because they were generally more healthy and made the personal calculation that they didn’t need coverage, will opt to pay the fines, which cost less than paying ever increasing amounts for coverage. This will still leave them effectively uninsured as they were before. These uninsured people would become a revenue stream to the government via the fines paid for non-compliance. One could argue that this is in effect, a way of taxing people and businesses in a new, and more cynical way.

As the pool of insured people falls in response to the increasing premiums, due in part to added burdens caused by pre-existing condition customers and due to losses of individual and business group policy holders, private insurers may simply shut down and drop health coverage as a product. If that were to happen en masse’, the nation may find itself with few if any health insurance providers. This is not a scenario beyond the pale when you consider that products like group annuity and whole life insurance have dramatically declined due to market forces. It is possible that these lines of coverage may in the fullness of time; disappear entirely, as the administration costs and servicing costs make them uneconomical to offer. If this were to happen with health insurance, what would happen to the existing policy holders? Who or what would rise to fill the void?

The answer seems obvious. The government would undoubtedly step in to fill that void they caused by their attempt to provide coverage to all in the first place. Single payer would become defacto as the government took over in the void created by them and all the worst case scenarios would come to pass: price controls, ‘death panels’ and eventually, rationing of care. Complete government control of the health delivery services of the nation would become a fact of life for all Americans, thus destroying arguably, the world’s greatest health care delivery system...

As the old Community Reinvestment Act began the march that lead to the collapse of the housing finance industry in America, these governmental mandates on the private health delivery and payment system will hasten the beginning of the march toward a single payer system. This system will ultimately control aspects of your life that were once the exclusive purviews of the citizens and their doctors, and lead to horrific deficiencies in quality and quantity of health services to the people of this nation. It will also lead to ultimate financial collapse of the governmental budgetary system as we would see crisis after crisis develop as we do now with Social Security, Medicare and Medicaid, only on a much grander scale. If one doubts the results, they simply have but to look north to Canada or across the Atlantic to Great Britain to see what single payer systems have done to healthcare in those nations. All the worse case scenarios have come to those countries including rationing, delays in critical services, and outright denial of services and cutting edge drugs and procedures due to cost or government regulation.

Is that what we want? Is that the best we can do for our country?

Obamacare meeting stiffening resistance...

WILL THE DEMOCRATS DELAY FIXING THE ECONOMY UNTIL AFTER THEY GET THEIR NATIONALIZATION AGENDA PASSED?

WOULD THEY LIE TO GET WHAT THEY WANT ?

An interesting point was made by a caller to a popular talk show who made an interesting point. Would the Democrats, realizing that time was getting short, that the American people were getting sick and tired of the Obama legislative BLITZKRIEG, ram-rodding bills to increase taxes, bailing out their union buddies, and nationalizing massive slices of the economy, allow the economy to continue to limp along, shedding jobs and leaching whatever prosperity is left out of the national economy?

The answer seems to be “YES”.

We keep seeing evidence that administration and congressional Democrats are unwilling to allow any real debate or review of ANY legislation they have proposed or voted on prior to the vote. Sixteen years ago, “Hillarycare” was the democratic, populist, plan de jur proposed by the Clinton administration that failed when it was put out in the public domain. It was possible to get the 2 volume plus the amendment supplement from the government printing office book store and read it. Today, it is possible to put bills on the web so the public can see them and the congress can review them. Lately however, the procedure has changed dramatically in the wake of democratic takeover of congress. We the people no longer get to see bill prior to the vote. If anything about the bill gets out, it is the day of the vote if we are lucky, if not a few hours prior to the vote. This is what happened in the vote for the so called “Cap and Trade” legislation that passed in early July of 2009. Amendments were put in the bill that exceeded 300 pages, to a bill that the members were unable to review in its entirety, nor that the citizenry were able to see in print anywhere. This travesty continues with the “Obamacare”
plan that is presently making it's way through committee. This is the lesson of “Hillarycare”the Democrats learned. Ram bills through before anyone can object or before anyone knows what's in it or before debate can occur.

As I write this, the house committees, specifically, the House Energy and Commerce Committee, are debating the costs and the ramifications of the Obamacare plan. Rep. Henry Waxman, (D) of California, who chairs this committee, has halted consideration in order to regroup in the wake of rising opposition within the congress and within the Democratic party itself as some members are getting wise to the fact that what is being proposed is not workable. President Obama, realizing that he is in some serious trouble getting this plan passed has asked House Democrats to the White House today to get the plan back on track in spite of the general unease that is being felt by those who are getting indications from the folks back in their districts that the people are scared that debt will rise, care will suffer and that what health care they have will evaporate in the wake of government intervention. What will happen? What will the so-called moderate “Blue Dog” Democrats do when the Obama mafia begins to exert pressure on them?

If past performance is any indication, the Obamanites in both the White House, in the House and Senate, will put thousands of goodies for these moderates to buy them off like they did during the “Cap and Trade” fiasco, then they will put this thing to a vote at 3:00 AM on a Friday prior to the Congress going out on their August recess so they don't have to face the rising tide of discontent that is beginning to come to bare as more and more people become disenchanted with the Gestapo-like tactics the President and the Congressional leadership is using to pass their key legislative programs.

Mark my words, ladies and gentlemen.....


This will be a fight to the death in the House and Senate and the Administration and the Democrats make this play to nationalize 1/6th of the national economy.

Today, the House had a 1 minute speech session. 134 Republicans got up and spoke, universally deriding the any attempt to pass this form of health care reform. Steny Hoyer, the House majority leader, nearly had a nervous breakdown as one congressman after another said that the plan was not going to work and that it would cost jobs and increase taxes and cause rationing. Add this to the Congressional Budget Office report last week and the fact that the program is going to cost TRILLIONS of dollars.

So, here we are, facing economic Armageddon, and Obama continues to push more and more deficit spending, higher taxes, greater government control and an ever-disintegrating confidence of the American people in his solutions. His answer, to threaten, bargain, beg, bribe and browbeat the congress to give him what he wants, and damn the consequences.

What His Majesty wants, His Majesty gets.....

The Congress will hopefully see their collective political mortalities and shoot the excremental piece of so-called reform down.