CEOs unite for health care
http://www.politico.com/news/stories/0507/3877.html
CEOs unite for health care By: Chris Frates May 7, 2007 10:40 PM EST
Health care reformers scored a victory Monday when 35 chief =
executives announced a major lobbying coalition designed to push for =
universal coverage in a market-based system.
The Coalition to Advance Healthcare Reform was launched as a way for =
business leaders to influence the debate on the state and federal =
levels.
The group is advocating for a market-based solution that covers =
everyone, gives incentives for receiving preventive care and provides =
subsidies to low-income people.
“Unlike other coalitions, which in my view played defense, this =
coalition has policy principles and a plan to play offense,” Steve =
Burd, the chief executive of Safeway and chairman of CAHR, told =
Politico.
Burd would not say how much the organization will raise or spend or =
what its lobbying plans are beyond building the coalition, but it has =
hired the lobby shop Quinn Gillespie & Associates.
“We’re confident that we have enough resources to fund the work =
that’s needed,” Burd said.
The proactive and organized response is a marked change from where =
the business community was during the health care reform debate under =
President Bill Clinton in the early =9190s, said Karen Davenport, =
director of health policy at the Center for American Progress.
“It shows a higher level of engagement. I think [business leaders =
are] an essential ingredient in solving this problem,” Davenport said.
The difference between now and then, coalition members said, is that =
the increased cost of health care cost is on track to hurt American =
businesses and workers competing in the global economy. By 2015, =
health care costs will constitute 22 percent of the nation’s gross =
domestic product or $41 trillion.
“The rate of health care increases cannot come continue,” Cigna CEO =
H. Edward Hanway told Politico. The difference between this coalition =
and the others, he said, is the “willingness of the CEOs to commit =
their own time and energy.”
The CEOs’ involvement helps build the issue’s momentum, Davenport said.
“They’re their own best spokesmen on this,” she said. “They can bring =
in economists or policy wonks, but it’s far more powerful to have =
CEOs talk about it. That gives it validity a voice of authenticity. =
They’re talking about their real experience.”
Burd highlighted Safeway’s experience in trying to control health =
care costs. The company eliminated co-pays for preventative care like =
annual physicals, mammograms, colonoscopies and well-baby care. =
Employees who take advantage of the program see a reduction in their =
premiums. The program, Burd said, has saved Safeway 15 percent per =
capita.
“We stumbled upon the Holy Grail of how to solve the problem from the =
cost side,” he said. “We think we can mimic that for the nation.”
But without reform, there’s only so much individual CEOs can do to =
cut costs, which likely has them frustrated, Davenport said. “I’m =
sure for CEOs that is an unusual experience.”
Davenport’s progressive think tank is also part of a coalition, =
Better Health Care Together, which boasts Wal-Mart and Service =
Employees International Union as members. The coalition is holding a =
summit in New York Tuesday where it will announce new members. The =
more people pushing the issue, she said, the better