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Wisconsin Health insurance proposal draws mixed reviews

Area businesspeople expressed interest and doubts Wednesday about a new proposal to provide health-care insurance coverage for most Wisconsin residents.

Roughly 80 people attended a public forum at Ashwaubenon High School about the new Wisconsin Health Plan, the latest attempt to provide universal health coverage for the state.

"We need to do something, but long term I'm not sure this would solve our problem because I think costs would still go up," said Karen Besaida-Hansen, president of Besaida Health Innovators.
Two Milwaukee-area legislators plan to introduce a bill soon to collect a flat percentage from all employers and use the money to pay for a health insurance voucher system for most residents under 65.

A primary difference between this plan and previous attempts is that the Wisconsin Health Plan would rely on the free market system to keep costs competitive.
 
Behind the plan are two former staffers in the administration of Gov. Jim Doyle — David Reimer, project director, and Lisa Ellinger, assistant director. They make up a new nonprofit, grant-funded organization called Wisconsin Health Project.

Reimer said the plan would provide a "floor benefit." If people wanted more than the basic plan, they could pay for it themselves.

The plan would assess each employee 2 percent of total Social Security wages and each employer 3 percent to 12 percent of total wages. Reimer said that is well below the average that most companies pay for health plans now, which is 15 percent to 16 percent.

In response to doubts raised about the cost of such universal care, Reimer said, "I've tried to look at the data, statewide and nationally, and I do think this model will bring costs down."

Besaida-Hansen said she employs about 55 people, and only 10 take her health plan because she can't afford very good coverage.

Paul Rauscher, president of small manufacturer EMT International in Green Bay, said his health care costs are 14 percent of total wages. "As an employer, I'm very skeptical of your numbers," he said.

He was particularly doubtful a statewide plan could deal with cost increases fueled by malpractice suits. Rauscher said he wanted to see how the money would be collected, something the proposed legislation will not address yet.

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