Analysis of Why We Need Health Care Reform by Barack Obama

In an emotional appeal promoting his Health Care Reform Plan, President Barack Obama, in his article, “Why We Need Health Care Reform,” published in the New York Times on Sunday, August 16, 2009, gives three examples. According to the Health Care Reform article, three individuals were either denied coverage or their coverage was rescinded, because of preexisting health conditions.

Two questions must be asked: Who are these three individuals that President Obama mentions in the second paragraph of the Health Care Reform article? What are their complete stories?

President Barack Obama states that he met Lori Hitchcock “in New Hampshire last week.” The President continues, “Because she has Hepatitis C, she cannot find an insurance company that will cover her.” It may be true that President Obama just met her last week, but Lori Hitchcock is not unknown to the White House. She was the person who introduced President Obama at the Portsmouth, New Hampshire Town Hall Meeting.

The White House Press Release on the Health Care Reform Town Hall, dated August 11, 2009, gives some background on Lori Hitchcock. The White House Release states that Lori’s husband died in 2006 because of Hepatitis C. She has two grown children.

Is it true that Lori Hitchcock cannot get coverage? The Press Release from the White House Briefing Room states: “There is a state program that would provide health insurance; however, at $750/month and a $500 deductible, Lori is unable to afford this coverage.”

New Hampshire, like 33 other states, provides some form of health insurance to individuals through high-risk pools. The health insurance coverage may be expensive, but the White House admits it is available. Information on the New Hampshire Health Plan can be found at http://www.nhhealthplan.org/.

The second person that President Obama references in his Health Care Reform article concerned “a woman who testified that an insurance company would not cover illnesses related to her internal organs, because of an accident she had when she was five years-old.” Who was this woman? Where and when did she testify?

On April 3, 2008 Lee Anne Fitzpatrick testified before the Senate Select Committee on Aging. In her testimony, Lee Anne stated that she was 57 years old. When she was five, she was in a serous accident. Two surgeries were required to save her life. She worked 10 years as a nurse, before starting her own business. Later, she began working for Paloma Clothing in Portland, Oregon. When Lee Anne applied to Blue Cross, the insurance company denied her individual health coverage because of “preexisting conditions,” the result of the unfortunate injury she had as a child.

A year after the health care coverage was denied, however, Lee Anne Fitzpatrick did get health insurance through her husband’s work at Intel. That health insurance paid for two new surgeries for her. Later, her husband was laid off because of cancer (the health insurance paid for treatments), so Lee Anne went to her boss at Paloma Clothing in Portland. She convinced him to obtain group coverage, which she participates in. In other words, despite being denied health care coverage due to “preexisting conditions,” at the time of her testimony before the Senate Select Committee, Lee Anne Fitzpatrick had health insurance.

Lee Anne Fitzpatrick’s testimony on health care can be found at: http://www.aging.senate.gov/events/hr191lf.pdf.

The third individual President Barack Obama references in his New York Times article on Health Care Reform concerned “a man who lost his health coverage in the middle of chemotherapy, because the insurance company discovered that he had gallstones, which he hadn’t known about when he applied for his policy.” President Obama then states: “Because his treatment was delayed, he died.”

This certainly is the most gut wrenching of the three stories. Who was this man? And, did the delay in treatment actually cause his death?

The name of the man is Otto Raddatz, a 59 year-old restaurant owner in Illinois. His sister, Peggy M. Raddatz, who is a lawyer, told his story to the Subcommittee on the Oversight and Investigation of the House Energy and Commerce Committee on June 16, 2009.

Otto Raddatz applied for and received coverage from Fortis Insurance Company in 2003. A year later he was diagnosed with Stage IV Non-Hodgins Lymphoma, a very aggressive cancer. The doctors suggested intensive chemotherapy and stem cell transplantation. Fortis Insurance began a routine review. Fortis Insurance found that Otto had a CT scan in 2000 that showed an aneurysm and gallstones.

Otto Raddatz, however, had not disclosed this information on his original application. Fortis cancelled his policy for “material failure to disclose,” a form of fraud. It should be noted that fraud, “upon clear and convincing evidence,” is also not covered in HR 3200 (Section 162, p. 55), America’s Affordable Health Choices Act of 2009.

Otto Raddatz’s doctor, however, had not informed Otto of the aneurysm and gallstones, so, with the help of the Illinois Attorney General’s Office, Fortis Insurance reversed its decision to rescind. But did the delay in his treatment cause his death?

The transcript on page five states otherwise: “The company relented and Otto received his stem cell transplant. He was able to live 3 more years before passing away earlier this year.”

The complete transcript of the Energy and Commerce subcommittee can be found at: http://energycommerce.house.gov/Press_111/20090616/transcript_20090616_oi.pdf

In the first example, Lori Hitchcock of New Hampshire does have a health insurance option that will cover her, according to the White House itself. At the time of her testimony in the second example, Lee Anne Fitzpatrick of Oregon had health insurance coverage through her employer, Paloma Clothing. In the third example, Otto Raddatz of Illinois received the stem transplant within weeks. Though certainly agonizing for the family, Otto lived for three more years.

References:
New York Times Article: “Why We Need Health Care Reform” by Barack Obamahttp://www.nytimes.com/2009/08/16/opinion/16obama.html?bl&ex=1250568000&en=b4c154e09828e75c&ei=5087%0A