NCPA - National Center for Policy Analysis


June 7, 2007

Rudy Giuliani -- moving his presidential campaign beyond its signature issue of national security -- is preparing to lay out a health care plan that would mark a significant change in how health insurance is paid for in the United States, says the Wall Street Journal.

What U.S. health care needs is more consumer choice, says Giuliani.  Some of his reform ideas include:

  • Supplanting state regulations which require insurance companies to offer benefits ranging from chiropractic care to fertility treatments.
  • Instead, people across the country could buy insurance from any company in any state, meaning they could find cheaper, more basic plans than those now available in their particular state.
  • He also embraced President Bush's proposal to give people a tax break to buy insurance regardless of whether they get it from an employer or elsewhere.
  • Changing this could push people to the individual market where they would pick and choose among plans.

In addition, Giuliani rejects the idea of a government mandate that all individuals purchase coverage, unlike many of his Democratic counterparts.  To do that, he said, the government would have to subsidize the bill for those who can't afford coverage, which would drive up the overall cost.  In Massachusetts, the state is subsidizing coverage for poor and low-income families.  For example, a family of three earning as much as $51,510 a year could receive a subsidy.

Source: Laura Meckler and John Harwood, "Giuliani Health Proposal Seeks Individual Coverage," Wall Street Journal, June 7, 2007.

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