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January 20, 2005
Universal Health Care Update
ATTACHMENT:
Lewin Report Executive Summary: DOC 694 K
Lewin Report Fact Sheet: DOC 55 K
Dear FCL Supporter,
With Senate President Pro Tem Don Perata (D-Oakland) pledging his full support, on Wednesday Senator Sheila Kuehl (D-Santa Monica) announced plans to reintroduce legislation to create a universal health care system for California called the California Health Insurance Reliability Act.
Kuehl released a study by the Lewin Group, a health care consulting firm, which shows that her legislation would include a comprehensive benefit package while reducing health care spending by $8 billion in the first year alone. By replacing California's patchwork of public and private insurers with a single insurance plan, administrative costs would be reduced by $20 billion. California would also purchase prescription drugs and durable medical equipment in bulk in order to save $5 billion. These savings would be applied to expanded health care delivery and to reduce costs for consumers, businesses, and government. (Note: The California Healthcare Foundation recently reported that health insurance premiums rose by 11.4 percent in 2004, the fourth consecutive year of double-digit premium increases. (1)
Universal coverage would be financed with current government health care funding for discontinued programs, a payroll tax to replace employer benefits plans and other taxes to replace the premiums currently used to finance health care in the state. Consumers would retain the ability to choose their own health care providers.
From the beginning, FCL has supported Senator Kuehl's efforts to create universal health care for California. Since that time, a small coalition has blossomed into a statewide movement. We look forward to supporting Senator Kuehl's efforts in the current legislative session.
Fact sheet and the Executive Summary from the Lewin Report: links at top of page.
If you would like an electronic text version of the entire Lewin Report (116 pgs.), please request a copy by e-mail to Jim Lindburg: JimL@fclca.org
(1)
California Health Care Foundation:
http://www.chcf.org/topics/healthinsurance/index.cfm?itemID=108023&subsection=reports)
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Sincerely yours,
Jim Lindburg
Legislative Advocate
http://www.fclca.org
E-mail: JimL@fclca.org
Phone: (916) 443-3734
Fax: (916) 448-6109
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