Representative Henry Waxman is at it again.
In the wake of health care reform’s passage, several of the country’s top executives have acknowledged the legislation’s negative effect on their companies’ respective operations.
In a letter to the CEO’s of AT&T, Caterpillar, Verizon and Deere & Company , Waxman took issue with their position:
“The new law is designed to expand coverage and bring down costs, so your assertions are a matter of concern.”
Now Waxman has summoned these CEO’s to appear before the House Energy and Commerce Committee to explain themselves.
As Megan McArdle points out, Waxman’s complaint should not be with the executives but rather with the accounting code itself. Indeed it is the obligation of these CEO’s to inform their investors of the impact this law will have on a company’s finances.
Meanwhile, Aetna’s CEO Ron Williams has come out to acknowledge what we already know: Premiums will increase.
Asked in an interview if premiums would rise, Williams said: “The answer is yes, and some of the things that will drive those premiums are significant additional taxes the industry will ultimately have to pay in the first year.”
To top it off, the New York Times reported that insurers contested the language of the law that would have forced them to take on children with pre-existing conditions.
That prompted Chairman Waxman to respond in this way:
“The concept that insurance companies would even seek to deny children coverage exemplifies why we fought for this reform.”
The insurers have since backed down.
But one can bet that the insurance company CEO’s will be summoned soon as well to appear before Mr. Waxman’s committee.
A more cynical person might argue that the purpose of this legislation was to create mass chaos.
Can talk of a “public option” be far behind?
