President Obama Uses State Of The Union Address To Defend Health Reform Law

Although President Obama on Tuesday spent little time during his State of the Union address on health care and the federal health reform law, he used that time to highlight some of the law's benefits, Politico reports (Nather, Politico, 1/25). Obama warned that he is "not willing to go back to the days when insurance companies could deny someone coverage because of a pre-existing condition." He cited invited guests to illustrate two of the law's consumer benefits: prohibiting insurers from denying coverage to individuals with pre-existing conditions and providing business owners with financial aid to help cover the costs of their employees' health coverage (Bunis, CQ HealthBeat, 1/25).

The president conceded that some portions of the law can be improved and said he is willing to discuss those provisions. "Instead of re-fighting the battles of the last two years, let's fix what needs fixing and move forward," he said (Politico, 1/25). Obama acknowledged the ongoing Republican efforts to repeal the health reform law and complicate its implementation but did not use the word repeal, according to CQ HealthBeat. Instead, he said, "I've heard rumors that a few of you have some concerns about the new health care law" (CQ HealthBeat, 1/25).


In admitting that there are portions of the reform law that can be improved, Obama urged Republicans to work with him on two issues the GOP supports: medical malpractice reform and a repeal of the 1099 tax-reporting requirement in the law. He said, "Let me be the first to say that anything can be improved. If you have ideas about how to improve this law by making care better or more affordable, I am eager to work with you" (Politico, 1/25).


Obama said that the overhaul is the best solution to restrain health care spending and to bring the rising federal deficit under control, Politico reports (Politico, 1/25). He said, "This means further reducing health care costs, including programs like Medicare and Medicaid, which are the single biggest contributors to our long-term deficit" (Kaiser Health News, 1/25). He also noted that repealing the health reform law would "add a quarter of a trillion dollars to our deficit," referencing the Congressional Budget Office's deficit and revenue analysis of House legislation to repeal the reform law.


Obama also proposed a five-year freeze on domestic spending, which would come at a crucial time when Congress will have to authorize funds to enable HHS and other federal agencies to implement key provisions in the law (Politico, 1/25). He said his proposal "would reduce the deficit by more than $400 billion over the next decade and will bring discretionary spending to the lowest share of our economy" since the late 1950s (Kaiser Health News, 1/25).


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