Tuesday, April 06, 2010

More "well thought out" parts of the massive health care bill deserve worry

The many parts of the health care bill are a marvel to contemplate and as the 2000 plus pages are deciphered there will be much to be considered.

Here is one that has received a bit more commentary than my current favorite worry,section 10320. See here for my fears about 10320.

Jason Shafin, Phd in economics, discussed the CLASS act in the above hyperlink. Class stands for Community Living Assistance Services and Support Act . This is a Long Term Care (LTC) program whose benefits seem grossly inadequate to pay for a nursing home but admittedly might help a bit.Funding for it precedes the years when payouts occur, part of the wink-wink-nudge-nudge accounting that achieved the veneer and illusion of "cost saving" of this landmark bill.

This is a voluntary program that may be offered by employers and applicants cannot be denied coverage. There are some interesting tricks in the program that Dr. Shafin warns us about. The default position regarding employees is that they are signed up unless they opt out.I suppose this the so-called libertarian paternalism at work. But, if you drop out after you figure out you are in it, you then have a penalty to pay if you decide you really want it after you get older and realize you might need it and sign up for the plan again. Not sure how paternalistic that is, maybe some type of tough love.

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