Tag: insurance

Paul Ryan and John Shimkus don’t understand the concept of insurance

It has become inherently clear that the Republican majorities in both houses of Congress have zero concept of how insurance is supposed to work. Broadly speaking, insurance is a method of protecting one’s self from financial loss, and insurance can be an individual policy (such as a car insurance policy through a private-sector entity like State Farm, GEICO, or one of their competitors), a group policy (such as group health insurance plans provided by employers through a private-sector health insurance firm to the employers’ employees), or a government policy (such as the federal Old Age, Survivors, and Disability Insurance program commonly called Social Security). Likewise, health insurance is a method of protecting one’s self from financial loss associated with medical expenses, and can be an individual policy, a group policy, or a government policy. In order for insurance policies to be financially sustainable, those who do not need the benefits of the insurance policy in question must, by buying into the policy (which can be by paying premiums, taxes, and/or other means), effectively subsidize those who do need the benefits of the insurance policy in question.

The problem is, Republicans, who want to repeal most of the Affordable Care Act (ACA), don’t understand how a financially-sustainable health insurance policy works.

At a recent press conference, U.S. House Speaker Paul Ryan of Wisconsin bizarrely claimed that health insurance doesn’t work if healthy people have to effectively subsidize people people who are ill and/or injured:

…He even lost the suit coat and broke out the PowerPoint on Thursday. It was like watching something on cable access late at night, or a flop-sweaty rookie substitute teacher, and it was hilarious—except for the parts where people will lose their health insurance and die, of course. And this is what he said and, peace be unto Dave Barry, I am not making it up, either:

Paul Ryan said that insurance cannot work if healthy people have to pay more to subsidize the sick.

As if Ryan wasn’t far enough out of touch with reality, the person who legally represents me and several hundred thousand other people in downstate Illinois in the U.S. House of Representatives, John Shimkus, made the sexist motivation behind repealing the ACA publicly known in committee:

But Republican Rep. John Shimkus of Illinois took the cake on Thursday night when he questioned why men aren’t exempt from paying into insurance plans that cover prenatal care. “What about men having to purchase prenatal care?” the congressman said. “Is that not correct? And should they?”

Let me ask a similar question: Why should women have to purchase health insurance for prostrate cancer treatments? Clearly, men never need prenatal care, and women never need prostate cancer treatments. However, if only women had to pay for health insurance covering prenatal care, such a system, regardless of whether the public sector or the private sector were to administer it, would be financially unsustainable. The same problem would be the result if only men had to pay for health insurance covering prostate cancer treatments. This is because a large percentage of women will need prenatal care for at least several months of their lives, so it would be only women who never get pregnant effectively subsidizing those who get pregnant any number of times in their lives. Health insurance covering gender-specific health illnesses/procedures can only be financially sustainable if both men and women pay into a health plan covering prenatal care, prostate cancer treatments, etc..

While I’d never run for public office myself, John Shimkus may legally represent all people in the 15th Congressional District of Illinois, but a significant minority of voters in the 15th district, including me, understand that Shimkus doesn’t understand how health insurance works.

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Wisconsin Republicans and corporate Democrats attack a successful business

A large number of Republicans and twelve corporate Democrats in the Wisconsin State Legislature have decided to target a successful Wisconsin business: Union Cab of Madison Cooperative.

The Wisconsin State Legislature is on track to pass legislation, Wisconsin Senate Bill 106 (SB106), or, as I like to call it, the Julie Lassa-Cory Mason Bill to Revoke Local Control on Taxicab and Ridesharing Services, that would allow ridesharing companies, such as Uber and Lyft, to operate statewide in Wisconsin with very few regulations. Ridesharing companies allow people who drive automobiles to offer rides to those who pay the ridesharing fee for a particular trip, usually via a mobile phone application that both the driver and the passengers are required to have.

These ridesharing companies engage in predatory practices that screw over customers, workers, and taxpayers. While I could write a 100,000-character blog post about the negative aspects of ridesharing companies, I’ll mention three of them in this blog post. First off, ridesharing companies screw over customers by raising their rates by using dynamic pricing, which is also called surge pricing. Surge pricing allows the ridesharing companies to raise their rates when their computer algorithms tell them that traffic is heavy, demand for rides is high, or something else that their algorithms factor in, such as, in at least one documented instance, a terrorist attack, allow them to raise their rates. Secondly, ridesharing companies screw over workers by taking a sizable chunk of the money that the drivers collect from offering rides. In some instances, ridesharing drivers are effectively paid a negative salary (i.e., effectively charged money to work) because the portion of the ridesharing fee that the driver keeps is less than the vehicle-related costs of the trip. Furthermore, ridesharing companies are a burden to taxpayers for two main reasons. First, taxpayers will end up on the hook for accidents involving ridesharing drivers who don’t have commercial automobile insurance. Second, there will be tons of lawsuits over liability claims over crashes involving ridesharing drivers, resulting in court cases that clog up the justice system and result in more taxpayer money being spent on trials.

However, the main reason why I oppose the Lassa-Mason Bill is because it’s clearly designed to take away local control from Wisconsin’s second-largest city, Madison, in regards to taxicab regulation. Furthermore, I highly suspect that this is part of a coordinated attack to put a successful business, Union Cab of Madison Cooperative, out of business for purely political reasons, something which I strongly oppose. Also, I strongly believe that any Democratic elected official who supports legislation that allows companies like Uber and Lyft to operate with very few regulations is effectively a traitor to the progressives who vote them into office, and I would have no problem supporting progressive-minded primary challengers to corporate Democrats who support the Lassa-Mason Bill and/or other parts of the political agenda of Uber and other ridesharing companies.