Citizen Advocate: A Report For Members Of WISPIRG
WISPIRG.ORG HOW YOU CAN HELP MEMBERSHIP

Health Care Reform

Health Care Reform: The $3 Trillion Question
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OPERATION NATIONAL PRESS TOUR—WISPIRG’s Shannon Nelson (right) is joined by small business owners in support of health insurance reform as part of our nationwide press tour with Healthcare Harry.

With health care at the top of the Obama administration’s agenda and a real opportunity for change by the end of this year, WISPIRG has added our voice to the call for reform, focusing on the need to rein in the high cost of care.

Plagued By High Costs

This summer, we researched and released a series of reports on the exploding cost of health care.

“The Small Business Dilemma” surveyed small business owners on health care. Seventy-eight percent of the owners we surveyed who do not offer coverage to their employees wish they could. Of that group, 80 percent cited health insurance’s high cost as the reason they didn’t offer coverage.

In another report, “The Three Trillion Dollar Question,” we demonstrated that by implementing reforms, including streamlining the billing process and offering a public option to compete with private insurance companies, it would be possible to cut the cost of health care in Wisconsin by $55 billion over a decade, and by $3 trillion nationwide. These savings would be realized by individuals, businesses and government programs.

Harry Shows What Hurts

On Sept. 4, we unveiled Healthcare Harry, our human-sized version of the game Operation, at a press conference to get our message across to the representatives from ­Wisconsin who may prove to be decisive votes on reform. Harry represents what’s wrong with health care: high premiums have emptied his wallet, he’s choking on red tape, and he’s getting the door slammed on him for his pre-existing heart condition.

Financial Reform

Who’s Watching The Financial Industry?

Elizabeth Warren, the Harvard law professor who was appointed to head the Congressional Oversight Panel on the banking bailout last year, explains it this way: “We don’t eat tainted meat and we don’t drink adulterated milk because we have fairly good regulation. Financial products are no different. Free markets are not well supported when consumers are at risk for injury.”

It’s painfully clear now that Wall Street placed excessively risky bets that they could not cover, and that they paid executive bonuses on profits that did not exist. Worse, taxpayers, small investors, homeowners and our economy paid the price, because at the core of the crisis was a failure to adequately regulate financial products.

Along with Professor Warren and more than 200 other organizations, U.S. PIRG is calling for the creation of a Consumer Financial Protection Agency. In both June and July, Ed Mierzwinski, the director of our consumer program, testified before Congress in favor of the new agency, which would have the power to regulate all credit card and consumer loan products, no matter where purchased, and to check predatory financial products, such as payday loans and risky mortgages.

WISPIRG
Citizen Advocate
Fall 2009
Vol. 22, No.1