February 07, 2014
(Guest Post) By: Alec Rawls
The new Republican alternative to Obamacare is another wrong-direction big-government boondoggle. Senators Coburn, Burr and Hatch have included a few good things, allowing insurance providers to compete interstate (section 204) and reining in out-of-control malpractice lawsuits and awards (section 401), but their centerpiece is free universal health insurance for the needy (section 204) and subsidized insurance for the not so needy (section 203).
Free insurance is wrong on both counts. The free part is bad and the insurance part is bad. It health care is free, whether for the needy or for anyone else, the recipients lose all financial incentive to behave responsibly so as to avoid expensive health risks, making total costs far higher than they would otherwise be.