John McCain's Proposal for Health Care Reform - Essay Example

McCain believes in allowing every American to keep their health insurance as they move from job to job or job to home. McCain believes in strengthening health care quality by promoting research and development of new treatment models, improving technology and providing best information for Americans. (www.johnmccain.com). John McCain's health reform proposal is an attempt to address the inefficiencies. The McCain proposal consists of three components. The first component is that the current implicit tax subsidy provided for employer-based coverage would be eliminated.

For a worker receiving health coverage through his/her employer, the premium would be treated as part of the worker's "income" and taxed under the personal income tax. In place of this subsidy, consumers would receive a refundable tax credit if they obtain health insurance. The size of the credit would be $5000 for persons purchasing family coverage, and $2500 for persons purchasing individual coverage. This first component will make health care affordable and accessible for all since they receive a substantial refundable tax credit.

The second component is that the non-group market for health. "community rating" laws). States also vary in whether they mandate coverage for different types of medical expenses. This second component will allow Americans to choose the most affordable and the most efficient health coverage plan from health care providers from other states. This plan will push health coverage rates down as the suppliers of health coverage plans compete for new consumers across state lines. This plan also pushes health companies to offer a wider range of health services for the same costs in order to retain their old customers and attract new ones.

The third component is that the federal government would provide funding for states to each administer in the form of a Guaranteed Access Plan. This plan puts a premium on accessibility for all Americans and their families in all of the states. This plan will also make insurance more affordable as it would expand competition and "put families in charge of their health care dollars which will lead to expansions of health savings accounts and other high-deductible plans.References:Collins, S. R., & Kriss, J. L. (2008).

Envisioning the future: The 2008 presidential candidates' health reform proposals (The Commonwealth Fund Publication No. 1092). Retrieved February 23, 2008, from http://www. commonwealthfund.org/publications/publications_show.htmdoc_id=647708 Ginsburg, P. B. (2008). PERSPECTIVE: Don't break out the champagne: Continued slowing of health care spending growth unlikely to last. Health Affairs, 27(1), 30-32. John McCain website. Available at