Arnold’s Plan to Terminate California
Tuesday, January 9th, 2007
Schwarzenegger’s plan, which he publicly unveiled at noon, would require employers with 10 workers or more to buy insurance for their workers or pay a fee of 4% of their payroll into a program to help provide coverage for the uninsured.
Health insurance is not a right; it is a privilege that you work for and earn and no business is under any Constitutional obligation to provide it to their employees. It is a benefit used to attract the most qualified and capable workers in order to allow your business to thrive to its full potential. This proposed forcing of employers will only result in them employing less people and increasing the rate of unemployment in California.
Schwarzenegger would tax doctors 2% of their gross revenue and place a 4% tax on hospitals. He campaigned for reelection on an anti-tax platform, but his administration argues that so many more people would have insurance that medical providers would make more money.
Huh? Doctors and hospital fees are already outrageous in California because of being forced to treat all of those illegal immigrants who stiff them for the bill. Dozens of hospitals in California have gone bankrupt and shut down over recent years. To remedy this, Arnold wants to place an additional tax on them? They will make more money by paying more out of their pocket? Is this the bizarro world?? The only result this will accomplish will be making medical care in California more expensive than it is now, because as with any business, the additional cost of this tax will not be paid by the doctor or the hospital, but rather passed off to the patient on their bill.
The governor also wants to ban insurers from refusing to offer coverage to some individuals because of their prior medical conditions. Insurers would also have to spend at least 85% of their premium revenues on patient care, a move that would limit the amount companies spend on administrative costs and profits.
So because it is not profitable for an insurance company, who is in the business of making money as are all businesses, to insure those with pre-existing conditions, Arnold is just going to force them to do it anyway because it feels like a warm and fuzzy thing to do. Additionally, he will dictate what they are allowed to spend their income on because he feels they are making too much (GASP!!) profits. Of course, this move will not result in less profits, it will result in less employees at the insurance companies and higher premiums to those insured to make up for the loss.
Arnold campaigned on an anti-tax platform and the belief that he would be the savior of the people buried under the rubble of the disaster named Gray Davis. While he may have pulled them to safety from that hole, he has thrown them into his own that he is currently digging. In the end, this plan will only hurt those in the People’s Republic. The added costs of this mandate will increase prices across the entire spectrum of the state economy as well as the already astronomical cost of living in the state. Unemployment will increase, placing more people on state assistance or sending them out of state in search of work. California is already on its decline. Independent censes done throughout the state have all indicated for the first time more people moving out of the state than those moving in.
Stick a fork in Cali. It’s overcooked.