|"GANG OF SIX"|
The Gang of Six, a bipartisan group of senators challenged with trying to cut the deficit, has put the Class Act in its cross-hairs. This act, in PPACA (Health Reform), was slated to set-up a government run Long-Term Health care Plan. Some of the key elements of The Class Act include:
- Average premium should be in the $150 per month range (less for youngers, more for olders)
- You must pay into the plan for 5 years before accessing any benefits
- You must be actively at work at least 3 out of 5 years
- Guaranteed Issue (Except for the limitations noted above)
- It is a voluntary plan primarily delivered through employers-employers are able to opt-out or opt-in. If employers opt-in employees area able to opt-out on a case by case basis.
The Class Act has been under scrutiny because people would have to pay in for 5 years before ever being able to access benefits, mostly only the sick would apply, because it's guaranteed issue, creating adverse selection and it's seen as a way for the Federal Government to subsidize Medicaid, something we already pay for. Also, according to Kent Conrad, (D-ND), Chairman of the Senate Budget Committee, speaking on the sustainability of the Class Act stated "a ponzi scheme of the first order, the kind of thing that Bernie Madoff would have been proud of."
"The Gang" is also considering major changes in the Tax-Code, Medicare and Social Security.