A specter is haunting health insurance

Ah, the power of a little fear to make corporations do the right thing. And what could be more terrifying than the specter of (a teensy dose of) socialism? Seems that, faced with the threat of a government-run plan, health insurers are ready to mend their discriminatory habit of charging women more than men for health insurance. This is only the latest bone they’ve thrown: In November insurers agreed they’d accept all customers, without regard to preexisting conditions, and in March they said they’d stop charging more to sick people. Apparently they’ll concede anything to fend off having to compete against a public option, as the Wall Street Journal put it.

It bodes well that the issue is being framed in the terms (and in the Wall Street Journal, no less). All us good capitalists are in favor of competition, right? Why should a private company fear having to compete with clumsy, bloated, ineffective government? This is just the framing supporters of a public option would want. Still, the fight to ensure that there is a public health plan option will be monumental, insurers correctly sensing that this is the crucial nose of the camel of eliminating our crazy system of private insurance.

Back to the issue of gender discrimination in health coverage: When The New York Times began covering the discriminatory insurance practice last fall, insurers defended the practice as based on sound actuarial data; women use more health care than men, especially during their reproductive years.

They were right.

On the data, that is, not on the morality of their discrimination. The issue raises important points about the need to socialize health costs, especially the costs associated with reproducing the species.

The insight goes beyond health costs. Should women bear the overwhelming burden of the caregiving (of both children and the elderly) necessary to continuing the species or should society as a whole share that burden? And what should sharing that burden fairly look like?

Wouldn’t it be nice if health care reform provoked that long overdue conversation. Don’t hold your breath.

P.S. Check out MoveOn's funny ad on the issue of a public health coverage option.