In the Commonwealth of Massachusetts, you can’t drive on the roads unless you have auto insurance. The Libertarian in me bristles at this notion. After all, who is the State to dictate how I should pay off the costs of a car accident I am involved in? Maybe I’m a safe driver and independently wealthy, and, being able to afford to pay for any unlikely accident/injury to myself or other parties, don’t want to waste hundreds of dollars per month insuring my 1960’s vintage Cadillac; if I crash, I’ll pay the price, but I don’t want to pay money every month just in case I crash. Who is the state to demand I pay that money to a private, for-profit business?
While the Libertarian fraction of this spaceman’s psyche doesn’t like the idea of the state demanding I insure myself while driving, the pragmatist in me recognizes that I don’t, in fact, have the money for a 1960’s vintage Cadillac, and neither do 95% of the knuckleheads on the road with me. If I cause a car crash and do some serious damage to another person, they simply won’t be able to extract the funds from poor-ol’ me to put their life back together, and thus auto insurance is a necessary state imposition.
It isn’t quite a straight line to mandatory health insurance, however. The best argument for a law insisting on auto insurance is that, on the road, you could hurt someone else. When you neglect your health by not buying health insurance, you’re really only hurting yourself. And, hurting one’s self is a right of a United States citizen. Or is it?
When a poor person hurts himself, goes to the ER, is treated, but cannot pay the bill, who pays for the services rendered? Other tax payers. This situation is at the crux of Massachusetts’ new bill that basically requires all Mass. citizens to obtain health insurance. The way the Mass. legislators see it, tax payers already pay the bill when someone below the poverty line visits the ER. Countless studies over the past few decades have proven that preventing someone from getting sick (regular checkups, available prescriptions, etc. all go a long way towards preventing someone from becoming ill) is exponentially cheaper than treating someone who gets sick. Thus, it only makes fiscal sense to require everyone have health insurance, and for the state to pay the insurance charges for those who can’t afford it. Everyone will be healthier, and, added bonus, it will probably be cheaper in the long run.
On Monday the first stage of Massachusetts’ Health Care For All plan went into effect. I support the plan, and I commend Republican Governor Mitt Romney for getting behind it. From now until Spring 2007, the plan will only effect Mass. citizens under the state’s defined poverty line of $9,800 a year. Anyone who makes less than this amount now has health insurance through one of four private insurance companies working with the state. The impoverished citizens pay no deductible, and their visits to the doctor cost as little as $3. But, in reality, these people already were getting a sort of free healthcare, as, since they couldn’t pay their medical bills, the tax payers were paying for their hospital visits anyway. The plan’s biggest effects will bee seen this Spring when the plan starts to work for the State’s lower middle class, those making between $10,000 and $40,000 a year, who make too much money to simply ignore medical bills like the poorest citizens do, but perhaps not enough money to justify the considerable expense of monthly medical insurance bills. These people often go without health insurance and pay out-of-pocket for their visits to the doctor’s when they get sick. Since these visits are so expensive, they often put off going in for medical treatment until they’re in really bad shape, which obviously lowers their quality of life the much of the time. The lower-middle class will now be forced to obtain health insurance, or else pay tax penalties. The good news is the new health insurance plans offered to them in conjunction with the state will be significantly lower than they used to be.
One las thing. I was never really a supporter of the idea of universal health care until I began to think about America’s entrepreneurs, arguably our greatest resource. Most middle class Americans get their health care through their employers. I see the lack of universal health care as a real impediment to entrepreneurship, because it keeps people with good ideas and skills from leaving their day jobs to start their own business. You may have a billion dollar idea with an 80% chance of success in the marketplace, but if you’re married with 3 kids, can you justify quitting your job and starting your own company, knowing you won’t be able to afford paying out of pocket for your family’s health insurance? Very likely you’ll simply stay with your job for the benefits, and thus your million-dollar idea fades away. I don’t think a system like that makes economic sense for our country.