This idea about health care cooperatives as an alternative to a public care system, is going to find its roots in a design similar to Group Health Cooperative out of Seattle.
First things first.
Make sure you don't score poorly or else, it's sorry you are too expensive to cover.
HMO is the operative acronym here.
And then you have the makings for a huge disasters being setup in the health care arena as was done in the mortgage industry with these idiotic ideas on so called hybrid institutions.
Remember Fannie Mae and Freddie Mac? You are looking at the same outcome that happened with Freddie Mac and Fannie Mae.
In the mortgage industry you had people scored on their credit. And as such, credit was issued accordingly to the scoring.
The Democrats can take blame in that they forced Freddie and Fannie to lower the credit threshold and as a result, people were getting loans that should have never gotten them.
Now take the same scenario and apply it to a non-profit who scores are based on your health. If you score poorly, you will not be allowed into the cooperative. There is a reason for that.
It keeps costs down. Now enter congress into the equation and congress now tells the cooperative to allow people in who originally weren't allowed in because of costly illnesses.
Guess what will happen. One, the added costs will have to either be covered by the federal government putting more money in or the person who joins the cooperative, will see their costs rise.
There is already similar talk that these cooperatives would be private, but they will not be private. The cooperatives will be government run and controlled just like Fannie Mae and Freddie Mac were controlled.
And last, the question will have to be asked what about securties tied with these cooperative institutions?
Some have tried to equate health care cooperatives to credit unions.
Well that dog won't hunt because one, credit unions did not fall for the mortage scam set up by congress on lending money and two, they do not fall under the tight grip of congress and in the case of health care, if the cooperatives sign on the dotted line with congress, monies will only be given for changing the scoring of patients.