White House Backs Down on Third-Party Billing

During a meeting with leaders from the nation's top veterans' service organizations, including AMVETS, House Speaker Nancy Pelosi announced that the White House had scrapped the idea of billing veterans' third-party insurance companies for service-connected health care.

Earlier in the afternoon, White House Chief of Staff Rahm Emanuel once again hosted veterans' leaders to discuss the Administration's controversial proposal.

"The meeting didn't last all of 15 minutes," said AMVETS Executive Director Jim King. "We walked in unified against the policy, we said our piece, and it was clear that [Emanuel] understood."

AMVETS was happy to hear that the White House reconsidered its proposal, and King said that he's prepared to move forward with the Administration on veterans' issues.

Immediately following Monday's meeting with President Obama, AMVETS started work on a proposal that would allow the VA to collect necessary third-party funding without placing a new burden on service-connected veterans. AMVETS stands ready to present this option to the White House in the coming weeks.

(Photo: On a Saturday in January, President Barack Obama and White House Chief of Staff Rahm Emanuel met with the National Economic Council and the Office of Management and Budget to discuss the FY2010 federal budget. White House photo by Pete Souza, released.)

PS - King also mentioned that during the meeting someone chimed in with: "When John Stewart and Rush Limbaugh agree on something, it's probably a good indication of how the country feels." To view Rush Limbaugh's comments, Click Here. John Stewart's feelings on the issue can be viewed here:

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AMVETS Speaks with President Obama on Third-Party Billing

On Monday afternoon, AMVETS Executive Director Jim King had the opportunity to meet with President Barack Obama and leaders from the nation's leading veterans' service organizations to discuss the controversial third-party billing proposal for service-connected veterans.

AMVETS was encouraged by the President's commitment to not implement the new policy outright, should it have negative effects on veterans. However, Obama and the White House staff would not entirely rule out a policy change, and asked for help from veterans' leadership to come up with alternative proposals to fund the VA internally.

On the surface, the proposal seems to be a reasonable way from the VA to bring in extra income, since the White House has assured the veterans' community that the VA would not directly bill veterans for any service-connected medical services. However, when the cost is passed along to a third-party insurance company, AMVETS is concerned that the proposal could have serious unintended consequences for veterans, making many uninsurable in the private sector.

King said that veterans would quickly reach their third-party caps for health care within a few short visits to treat service-connected conditions. Veterans could also face drastic increases in premiums, or lose third-party coverage altogether, since they will become a greater liability for private insurance companies. The proposal could also have detrimental effects on veteran employers and business owners, driving up the costs of health care for veteran-friendly businesses.

King suggested to the White House that the VA step up its current third-party billing for non-service-connected conditions to help recoup some vital income. On Thursday, AMVETS legislative team will have the opportunity to present White House Chief of Staff Rahm Emanuel with alternatives to the third-party billing proposal.

AMVETS remains vehemently opposed to the controversial policy, and AMVETS' leaders will continue to work with the White House and the VA to ensure that it does not become a reality. During recent testimony on Capitol Hill, AMVETS Legislative Director Ray Kelley and the Independent Budget partners voiced their fervent opposition to the proposal. Their concerns resonated with both Congressional committees on veterans' affairs, as both committee chairmen, Sen. Daniel Akaka and Rep. Bob Filner, indicated that they would not approve a VA budget proposal that included third-party billing for service-connected veterans.

American Veteran magazine will be following this story closely. Check back regularly with the blog for updates.

-Ryan

(Photo: President Barack Obama visits with troops at the Pentagon in January for the first time as Commander-in-Chief. DoD photo by MC1 Chad J. McNeeley, released.)