Obama unveils plan for universal health insurance

US presidential hopeful Barack Obama is offering a sweeping plan that would require every American to have healthcare coverage and calls on the government, businesses and consumers to share the cost.

The Democrat said putting in place universal health coverage had been debated for decades, but the time had finally come to act.

He said his plan could save the average person €1,800 a year and bring healthcare to all.

“The time has come for universal, affordable health care in America,” Obama said in remarks he will deliver at the unveiling of his plan in Iowa City today.

Under Obama’s proposal, every American would be required to carry health insurance and the Illinois senator would create a National Health Insurance Exchange to monitor insurance companies in offering the coverage.

In essence, Obama’s plan retains the private insurance system but injects additional money to pay for the expanded coverage.

Those who cannot afford coverage would get a subsidy on a sliding scale depending on their income, and virtually all businesses would have to share in the cost of coverage for their workers.

The plan that would be offered would be similar to the one covering members of Congress.

His package would forbid insurance companies from refusing coverage because of pre-existing conditions.

“My plan begins by covering every American. If you already have health insurance, the only thing that will change for you under this plan is that the amount of money you will spend on premiums will be less,” Obama said.

“If you are one of 45 million Americans who don’t have health insurance, you will after this plan becomes law.”

In addition to broadening coverage, Obama called for a series of steps to overhaul the current health care system.

He would spend more money boosting technology in the health industry such as electronic record-keeping, put in place better management for chronic diseases and create a reinsurance pool for catastrophic illnesses to take the burden of their costs off other premium payers.