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WSJ editorial vs. WSJ news pages on insurance lobby opposition to reform

August 05, 2009 12:24 pm ET — 10 Comments

In an August 5 editorial, The Wall Street Journal falsely claimed that the health insurance lobbies are "helping Democrats by keeping quiet" during the health care reform debate, adding that if they "were any quieter, they'd be Trappists." In fact, the insurance industry reportedly significantly increased its spending on lobbying this year, and, as the Journal itself reported in a news article, insurers are "wag[ing] an aggressive campaign against Democrats' proposals to create a public health-insurance plan."

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From the Journal's August 5 editorial, "Dems vs. Dems":

The real political news this month isn't Republicans vs. Democrats, and certainly not insurance companies vs. Democrats. If anything, the health-care business lobbies are helping Democrats by keeping quiet and hoping their silence buys their survival as heavily regulated utilities. If the insurance companies were any quieter, they'd be Trappists.

Journal falsely claimed insurance industry "keeping quiet"

The insurance industry reportedly significantly increased its spending on lobbying this year. According to a USA Today review of disclosure reports, "[t]he largest medical insurers and drug companies spent 41% more on lobbying this year as Congress began debate on an overhaul of health care, which may include a public insurance plan the industries oppose." Specifically, USA Today found that "20 of the largest health insurance and drug companies and their trade groups spent nearly $35 million in the first quarter of 2009, up more than $10 million from the same period last year." USA Today added, "Drug and insurance companies support many changes Congress is considering but generally oppose government-run insurance." [USA Today; 6/12/09]

WSJ editorial page contradicts WSJ reporting

WSJ reported that the insurers are "wag[ing] an aggressive campaign against" the public option. On July 30, the Journal reported that "insurers are pushing back against several proposals that lawmakers see as favorable to consumers," adding: "[I]nsurers continue to wage an aggressive campaign against Democrats' proposals to create a public health-insurance plan. America's Health Insurance Plans has stationed employees in 30 states who are tracking where local lawmakers hold town-hall meetings." [The Wall Street Journal; 7/30/09]

WSJ reported that insurers are sending employees to town halls to "rebut" White House and Dems. The Journal reported in an article published the same day as the editorial:

The health-insurance industry said Tuesday it is launching an effort to send insurance-company employees to public meetings nationwide this month to rebut increasing criticism of the industry from the White House and top Democrats. "Attacking our community will not help get anyone covered," said Karen Ignagni, chief executive of lobbying group America's Health Insurance Plans. The group spent $1.9 million lobbying during the second quarter, according to Senate disclosure records. [The Wall Street Journal; 8/5/09]

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    • Author by historygeek001 (August 05, 2009 2:37 pm ET)
         
      Doublethink at its finest.
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    • Author by The_Cat (August 05, 2009 3:07 pm ET)
         
      "And Jesus knew their thoughts, and said unto them, Every kingdom divided against itself is brought to desolation; and every city or house divided against itself shall not stand"

      That's from the Bible, in case any conservatives read this. Matthew 12:25. I realize very few conservatives are Christians, and wish to be helpful.
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    • Author by conservtheconst (August 05, 2009 3:10 pm ET)
      2 3
      Is there a report anywhere that shows that the Health Care Bill will actually curb costs and do what the president claims he wants to do? I'm just curious. Everything I've seen shows that it will simply end up costing more money than we have and eventually they will have to raise taxes on EVERYONE to pay for it.
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      • Author by foghornleghorn (August 05, 2009 3:54 pm ET)
        4  
        I guess you missed the pesky fact that if we don't do something NOW, health care costs will DOUBLE in the near future.

        So let's assess our options. We can do something now, which probably will by somewhat costly, but will take coverage away from the corporate profit-driven vampires, provide insurance to everyone and saving thousands of lives and bankruptcies, and improve the overall health of the citizenry through preventative health care.

        Or we can just keep doin' as we've been doin' which enriches the corporatacracy, denies care to millions, under-insures millions, with the costs doubling in the next few years.

        So the bottom line is, you're going to pay more anyway. Why not have a better system for your money?

        Or are you an apologist for insurance corporation profits?

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      • Author by peace4all (August 05, 2009 4:43 pm ET)
           
        here ya go

        http://pushingrope.blogspot.com/2009/07/cbo-reports-health-care-reform-will.html
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      • Author by albertsenj (August 05, 2009 6:05 pm ET)
        5  
        It may cost the government more but, it will free industry from the costs of paying for their employees' health insurance. Surely companies can come up with some better ways to use that money than paying for health insurance!

        I've seen figures ranging from 15-30% for what the insurance companies take out of the health care system as administrative costs, advertising and profits. Since the government doesn't have to make a profit, those dollars should be available to improve health care.

        If everyone has access to health care, they won't be going into emergency rooms for whatever care they can get. Earlier care is cheaper than ER care.

        In addition, by disconnecting health insurance from employment, there will be increased liquidity in the job market. People will feel freer to change jobs, since they won't have to worry about losing their insurance AND, employers will be more willing to take on workers because they won't have to worry about the additional costs of health insurance.

        The bottom line - to the extent that we can re-route health care costs through the government instead of through profit-making insurance companies - the costs will be reduced. While the costs of providing actual medical care may not fall, they shouldn't rise either - we are already treating everyone - in one form or another. But the costs of PAYING FOR medical care should fall.

        As for the 'choices' the current system allegedly provides - most don't have a choice of insurance carriers or what type of coverages they have. That is decided by their employer.

        Worried about having a bureaucrat between you and your doctor? You already do - they work for the insurance company and they have a profit motive to deny and delay as much as they can. Insurance companies CAN and DO deny some of the most innovative treatments by labeling them 'experimental'.

        Under most insurance plans, you don't even have a free choice of doctors - unless you're willing to pay to see an 'out of plan' doctor. Access to specialists, surgery and other advanced procedures typically requires pre-authorization - you and your doctor have to appeal to a bureaucrat for approval before you can proceed.
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        • Author by foghornleghorn (August 05, 2009 6:56 pm ET)
             
          Well said. Very well said.
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        • Author by The_Cat (August 05, 2009 8:16 pm ET)
          1  
          You know, albertsenj, you bring up the point of employment liquidity, which was an angle I had not even considered. It's one of the reasons conservative business owners don't mind illegal immigration and hate the minimum wage: because the one makes workers fear for their jobs (someone always in line to replace you) and the other insists on at least the bare minimum of pay for a job done.

          With health care portable, that's one more reason to leave a job you hate. Employers may have to suddenly start making conditions and compensation better for employees just to retain them. They'd much rather we were all serfs, working the land for the lord of the manor in chains; figurative chains if not literal ones. Thanks for posting!
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      • Author by ForTheLoveOfEllipsis... (August 05, 2009 11:43 pm ET)
           
        Everything I've seen shows that it will simply end up costing more money than we have

        Which proves nothing but that you get all your information from Faux Nooz...
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    • Author by rwmacdonald2091 (August 05, 2009 5:09 pm ET)
      1  
      ut oh, sounds like old Rupert Murdoch better get a handle on things over there at the Murdoch journal.
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