State-Level Single-Payer Healthcare Faces Death By Sticker-Shock

Californians and New Yorkers could soon discover just how expensive “free” healthcare really is.

On June 1, California’s Senate passed the Healthy California Act by a vote of 23-14. If it passes the State Assembly, the bill will create a single-payer healthcare system that charges no premiums, co-pays, or deductibles. In mid-May, New York’s State Assembly approved its own single-payer overhaul (the New York Health Act) and sent it to the State Senate.

Each bill would replace employer-based and individual insurance, as well as state and federal coverage, with a single public program covering all residents, including undocumented immigrants.

One might think a government healthcare takeover would be an easy sell for liberal voters in California and New York. But even blue-state residents aren’t willing to accept the stratospheric costs of socialized medicine.

About 65 percent of California adults support the Senate bill — until they realize it would require up to $200 billion in new taxes. The architects of the law suggest a new 15 percent payroll tax to pay for the program.

Once they learn the facts, support plummets to 42 percent, according to a recent poll from the Public Policy Institute of California.

Don’t expect New Yorkers to rally behind single-payer after getting a look at their price tag, either. The New York Health Act could raise taxes by $226 billion in 2019 alone — more than quadrupling the state’s current tax burden.

Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.

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