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Jun
30

Workers comp and health Reform

There is no discussion or intention to include workers comp in any health reform package currently under consideration in Washington.
Let me be even more clear.
No one in the White House or Senate or the House or any staffer or party policy group – mo one even remotely close to the legislative process is in any way shape or form considering, contemplating, evaluating, mentioning or even thinking about workers comp. Comp is not now has never been and will not be part of any health reform program package bill or proposal.
I have no idea where this rumor is coming from, but I’ve talked with several folks who have heard that there is a task force working on this. If there is, they aren’t located inside the Capital Beltway. Ostensibly this is part of some deal involving labor who theoretically will trade giving up on the card check program if the Feds make work comp a national program. I may well have this wrong because labor bosses would sooner give up their mothers fathers and pensions before giving up on cardcheck, much less something as inconsequential as federalizing comp.
And yes, we all know that comp was originally part of the Clinton reform package, known as Title Ten. What you may not know (and I didn’t until Bob Laszewski told me) is exactly one (1) person in DC wanted Title Ten. Bill Clinton. No one else, not Ira Magaziner or Jay Rockefeller or Hillary gave two hoots about WC, but the big dog did.
What is also little known is that the person who deleted Title Ten was none other than Ted Kennedy. And the Senator has not had a change of heart.
Could thus change? No.
As Sen. Ron Wyden told me several months ago, when it comes to health reform, no one wants to pick a fight with anyone they don’t have to.
Will health reform meaningfully affect workers comp?
Absolutely. If – and it’s a big IF – reform passes into law comp will be indirectly affected. I’ve written on this extensively and will be doing so again shortly.
But comp WILL NOT be part of any bill.


2 thoughts on “Workers comp and health Reform”

  1. No, doing away with work comp will be down the road a ways (maybe 2-5 years) and will be a trade off for raising taxes on businesses.
    That’s my prediction.

  2. No one is talking comp now but there is a push underway to “federalize” an insurance charter to bypass state regulation, much the same way banks operate. The unions are supporting that so they can control injured worker benefits at the federal level, where they have much more influence than at the state level. (Follow the money.) If Congress can actually get a health reform package through, once the dust settles it will be very easy for Congress to mandate the federally chartered carriers use the national health system. It will be a way to extract more revenue from business to pay for an ever-ballooning tab for national health care. Does anyone really have faith that Congress can get this whole health care thing right?

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Joe Paduda is the principal of Health Strategy Associates

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A national consulting firm specializing in managed care for workers’ compensation, group health and auto, and health care cost containment. We serve insurers, employers and health care providers.

 

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