The Public s Health Care Agenda for the 112th Congress

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Key Findings Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress January 2011

Kaiser Family Foundation/Harvard School Of Public Health THE PUBLIC S HEALTH CARE AGENDA FOR THE 112TH CONGRESS Key Findings HEALTH REFORM: VIEWS OF THE LAW AND WHAT SHOULD HAPPEN NEXT While views of the health reform law remain roughly divided in January, negative views outstripped positive ones by a larger margin than they have in Kaiser tracking polls since the law passed last March. The share of the public with a favorable view of the law remained virtually unchanged from last month, but an uptick in unfavorable views (from 41 percent to 50 percent overall) was driven by independents. Forty-one percent of independents said they had an unfavorable view of the law in December; now this number is over half (57 percent), a change that may have been driven by the media spotlight afforded Republicans and anti-health reform arguments by the November elections and the plans for a repeal vote in the U.S. House. When it comes to what lawmakers should do next on health reform, Americans views are all over the map: 28 percent want to expand the law, 19 percent leave it as is, 23 percent repeal it and replace it with a Republican-sponsored alternative, and 20 percent repeal it and not replace it. But just like views of the law, opinions about what should happen next remain highly partisan. More than three in four Republicans (77 percent) back some form of repeal, while half of Democrats (51 percent) say they want the law expanded. Views on Health Reform Remain Divided As you may know, a health reform bill was signed into law early last year. Given what you know about the health reform law, do you have a generally favorable or generally unfavorable opinion of it? 80% 60% 40% 20% 0% 46% 40% 44% 41% 14% 14% 48% 41% 10% 50% 35% 14% Favorable Unfavorable Don t know/refused 45% 43% 49% 40% 12% 11% 44% 42% 15% 42% 42% 40% 41% 18% 18% Apr10 May10 Jun10 Jul10 Aug10 Sep10 Oct10 Nov10 Dec10 Jan11 2010 Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) and Kaiser Family Foundation Health Tracking Polls Divided as to What Next for Health Reform What would you like to see Congress do when it comes to the health care law? Total Democrats Independents Republicans EXPAND law 51% KEEP law as is 28% 24% REPEAL law and REPLACE with Republicansponsored alternative 32% 19% 16% 7% 8% 3% 8% 23% 25% 47% 20% 22% 30% 50% 41% 9% REPEAL law and NOT REPLACE it Note: Don t know/refused answers not shown. Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 1

Most Americans 62 percent disapprove of the idea of lawmakers using the appropriations process to slow down implementation of the law. The majority view switches here because, although most Republicans (57 percent) are in favor of the idea of defunding the bill, most independents are opposed (62 percent) along with the large majority of Democrats (84 percent). Even among those with an unfavorable view of the law and those who want to see it repealed, substantial shares of about four in ten say they disapprove of cutting off funding as a way to stop some or all of health reform from being put into place. SUPPORT FOR DEFUNDING HEALTH REFORM AMONG KEY GROUPS Q: Some lawmakers who oppose the health reform law say that if Congress isn t able to repeal the law, they should try to stop it from being put into place by cutting off funding to implement it. Whether or not you like the health reform law, would you say you approve or disapprove of cutting off funding as a way to stop some or all of health reform from being put into place? All Republicans Independents Democrats Those with favorable view of law Those with unfavorable view of law Those who favor repeal Those who would leave as is/expand Approve 33% 57% 32% 13% 11% 52% 56% 13% Disapprove 62 38 62 84 88 41 38 85 DK/Ref. 6 6 6 3 1 7 6 2 Meanwhile, when it comes to the state lawsuits challenging the legality of the health reform law, Americans have mixed views as to their motivation. About a third (32 percent) say state leaders filing suit see the law as violating the constitution, but just as many (32 percent) say they think they are trying to gain political advantage. About two in ten (22 percent) say it s not about the law or about politics, but that lawmakers think the policy itself is bad for the country. Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 2

HEALTH CARE AS A PRIORITY FOR THE PRESIDENT AND CONGRESS The fact that the public is largely split on what should happen next with regards to the health reform law does not mean that they want Congress to stop working on health care. In fact, a surprisingly large proportion of Americans seem to be up for more discussion and action on health reform in the coming year. In an open-ended question, health care and the economy were the top two issues Americans say they want to see Congress and the president address this year. Health care was the top issue among Republicans, but it was also at the top, albeit more narrowly, for Democrats and independents. The deficit ranked third overall, and was prioritized by almost three times as many Republicans as Democrats. HEALTH CARE AND THE ECONOMY TOP THE PUBLIC S POLICY AGENDA Q: Thinking about the new session of Congress that is starting this month, which two issues would you most like the president and Congress to act on in 2011? All Democrats Independents Republicans Health care/health reform 46% 44% 46% 50% Economy/jobs 40 41 41 39 Debt/deficit/balance budget/government spending 13 7 14 19 Immigration 12 12 11 11 Iraq/Afghanistan/concerns about military 8 10 7 6 Taxes 7 4 10 10 Social issues (gay rights, abortion) 6 5 7 5 Education 5 8 4 3 Social Security 3 4 3 2 Note: Responses named by at least 3 percent shown. Numbers may add up to more than 100% because of multiple responses. Who makes up this large group of people who want Congress to prioritize health care? Three in ten are self-identified Republicans, but just as many are Democrats. They are not Percent who are overwhelmingly in favor of repealing the reform law. this group prioritizing Congressional action on health care, nearly half want some Percent who have a version of repeal (26 percent want to replace the bill with a Republican alternative and 22 Percent who want to percent want to repeal it and not replace it), but 28 percent want to expand the legislation and 15 percent are content to leave it as it is. The emphasis on health reform may reflect the current attention it is receiving on Capitol Hill. WHO ARE THE PEOPLE PRIORITIZING HEALTH CARE THIS SESSION? those who name health care one of top two issues those NOT naming health care as one of top two issues Democrat 29% 31% Republican 30 24 Independent 36 35 Favorable view of law 36 45 Unfavorable view of law 57 45 Expand the law 28 29 Keep the law as is 15 21 Repeal and replace w/gop alternative 26 21 Repeal and not replace 22 18 Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 3

CONCERNS ABOUT THE LAW PERSIST, BUT MANY COMPONENT PARTS STILL POPULAR The public expresses a variety of concerns about the health care law. More than half believe it will entail too much government involvement in the health care system, a proportion that rises to 81 percent of Republicans and 57 percent of independents. Most Democrats, 58 percent, think it will lead to about the right amount of government involvement. Despite the Congressional Budget Office s findings to the contrary 1, six in ten Americans think the law will increase the deficit over the next ten years up substantially from the 45 percent who believed this immediately post-passage. In fact, even among those with a favorable view of the law, four in ten believe it will increase the deficit, rising to 76 percent among those with an unfavorable view of the law. A plurality of 42 percent think the law will weaken the Medicare trust fund, while 29 percent don t expect an impact, 18 percent think the trust fund will be strengthened and 12 percent don t know enough to say. Those over age 50 are somewhat more likely to anticipate harm to the trust fund: roughly half do, compared to just over a third of their younger compatriots. But as we have seen throughout the debate over health care reform, while opinion on the law as a whole is divided, many of its component parts remain popular. Over three-quarters of the public feel favorably towards requiring drug makers to offer a 50 percent discount on brand-name drugs for people in the Medicare doughnut hole (85 percent), providing subsidies for low and moderate income Americans to buy health insurance (79 percent), and establishing a voluntary insurance program for long-term care services (76 percent) also known as the CLASS act. About two-thirds like that the law expands the Medicaid program, requires insurance companies that spend too little on health care services to give customers a rebate, and eliminates cost sharing for preventative services for Medicare enrollees, and about six in ten look favorably on provisions that provide bonuses to physicians providing primary care to Medicare recipients and reduce payments to Medicare Advantage plans. Opinion is more mixed on several provisions, with just over half having a favorable opinion of increases in Medicare premiums for higher income seniors (53 percent favorable, 45 percent unfavorable), and just over half looking unfavorably on a requirement that employers offer health insurance to their workers or pay a penalty (48 percent favorable, 51 percent unfavorable) and on a rule change that excludes over-the-counter drugs from reimbursement through HSAs and FSAs (42 percent favorable, 51 percent unfavorable). MANY OF REFORM LAW S SPECIFICS REMAIN POPULAR Percent who hold favorable view of provision Percent who hold unfavorable view of provision 50% discount on drugs in Medicare doughnut hole 85% 14% Subsidies for low and moderate income Americans to buy insurance 79 20 CLASS act (voluntary long-term care insurance program) 76 22 Expanding Medicaid 67 32 Medical loss ratio 66 33 Eliminating cost sharing for many preventive services under Medicare 65 30 Bonus to primary care physicians treating Medicare patients 61 37 Reduce payments to Medicare Advantage plans 56 35 Increasing Medicare premiums for some higher-income seniors 53 45 Employer mandate/penalties 48 51 Changing rules for HSAs/FSAs to exclude over-the-counter drugs 42 51 Individual mandate 23 76 Note: Question wording abbreviated; see Topline document for actual question wording. 1 See http://www.cbo.gov/ftpdocs/113xx/doc11379/amendreconprop.pdf. Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 4

The individual mandate remains unpopular; 76 percent have an unfavorable view of this provision. However, some malleability in opinion exists. When those who initially oppose the mandate are read the argument that without such a requirement, insurance companies would still be allowed to deny coverage to people who are sick, opinion on the mandate becomes more split (46 percent favorable, 47 percent unfavorable). And when those who initially favor the mandate are told that such a mandate could mean that some people would be required to buy health insurance that they find too expensive or did not want, opposition rises to 85 percent. Views on Individual Mandate Somewhat Malleable Please tell me whether your opinion of requiring nearly all Americans to have health insurance or else pay a fine is favorable or unfavorable: Favorable Unfavorable 23% 76% Those favorable about the law were asked: What if you heard that requiring all Americans to have health insurance could mean that some people would be required to buy health insurance that they find too expensive or did not want? Would you still have a favorable view? Those unfavorable about the law were asked: What if you heard that without such a requirement, insurance companies would still be allowed to deny coverage to people who are sick? Would you still have an unfavorable view? Still favorable Unfavorable Favorable Still unfavorable 13% 85% 46% 47% Note: Don t know/refused answers not shown. Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) When it comes to the law s provisions affecting Medicare, over half of seniors say they have a favorable view of the 50 percent discount on drugs provided to those who have reached the doughnut hole, eliminating cost sharing for many preventive services, and providing a bonus to physicians who provide primary care. Support is somewhat lower among seniors for the reduction in funding for Medicare Advantage plans, but still half (50 percent) of seniors view this provision favorably. SENIORS AND YOUNGER ADULTS VIEWS OF HEALTH REFORM PROVISIONS AFFECTING MEDICARE Percent with a favorable view of each provision: All ages 65+ ages 18-64 50% discount on drugs in Medicare doughnut hole 85% 78% 86% Increasing Medicare premiums for some higher-income seniors 53 58 53 Eliminating cost sharing for many preventive services under Medicare 65 57 67 Bonus to primary care physicians treating Medicare patients 61 56 62 Reduce payments to Medicare Advantage plans 56 50 57 Note: Question wording abbreviated; see Topline document for actual question wording Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 5

THE BUDGET DEFICIT Two in three Americans say they are very concerned about the federal budget deficit. Republicans (74 percent) and independents (71 percent) are much more likely to say they are very concerned than are Democrats (47 percent). And those under age 30 are less likely to express concern than their elders. But Americans are somewhat more divided as to whether now is the time to take on the budget deficit. Currently, a narrow majority of 54 percent think the Congress should take steps quickly to tackle the deficit, while 43 percent think they should wait until the economy improves. There is a partisan divide here: most independents (61 percent) and Republicans (70 percent) want Congress to hit the deficit now, while most Democrats (61 percent) want to wait. Partisan Division Over When to Tackle Deficit Do you think the new Congress should act quickly to reduce the federal budget deficit, or do you think they should wait until the economy gets better before tackling the deficit? Total Democrats Independents Republicans ACT QUICKLY to reduce the deficit 37% 54% 61% Note: Don t know/refused answers not shown. Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) 70% WAIT until the economy gets better 61% 43% 36% 29% When it comes to how to reduce the deficit, most Americans would prefer to see spending reduced (57 percent) rather than relying mainly on tax increases (14 percent). Again, party differences exist. The large majority of Republicans prefer spending cuts (76 percent), and most independents agree (59 percent). However, while a plurality (39 percent) of Democrats would back this approach, Democrats are more likely than independents and Republicans to favor tax increases (22 percent) or taking no action on the deficit now (27 percent). BEST APPROACH TO REDUCING THE DEFICIT: CUTTING SPENDING MORE POPULAR THAN RAISING TAXES Q: Which of the following would you prefer to see the next Congress do about the federal budget deficit? All Democrats Independents Republicans Attempt to reduce the deficit mainly through increasing taxes 14% 22% 12% 8% Attempt to reduce the deficit mainly by reducing spending on government programs and services 57 39 59 76 Not take any action to reduce the deficit now 19 27 17 11 Combination of tax increases and reduced spending* 5 7 5 3 Don t know/refused 5 5 6 2 *Volunteered response So what areas of spending are Americans willing to cut? Not too many. Of the twelve areas tested in the poll, the majority were only willing to accept major reductions in one: foreign aid. In addition, about four in ten would support major reductions in funding for the conflict in Afghanistan and in salaries and benefits for federal government workers. In most areas, majorities favor at least minor reductions but few want to see major cuts; these areas include expanding coverage under the health reform law, food stamps, national defense, unemployment insurance, and aid to farmers. Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 6

At the other end of the spectrum, there are three areas where a majority of Americans said they want to see NO reductions, including Social Security, public education and Medicare. And nearly half say the same thing about a fourth category: Medicaid. WHEN IT COMES TO SPECIFICS, AMERICANS RELUCTANT TO SEE MAJOR CUTS IN MOST AREAS OF SPENDING Q: If Congress decides to reduce the deficit by reducing spending on federal programs and services, I d like to know in which programs you would be willing to see spending reduced. For each program I name, please tell me if you would support major spending reductions, minor spending reductions or no reductions at all as a way to reduce the federal deficit. Percent supporting major reductions Percent supporting minor reductions Percent supporting no reductions Foreign aid 52% 36% 11% Funding for the conflict in Afghanistan 43 31 23 Salaries and benefits for federal government workers 41 43 15 Expanding insurance coverage under the health reform law 29 40 26 Food stamps 23 41 35 National defense 21 40 38 Unemployment insurance 20 41 37 Aid to farmers 18 44 36 Medicaid 13 39 47 Public education 13 24 63 Medicare 8 35 56 Social Security 8 27 64 Not surprisingly, Republicans are more likely than Democrats to support spending reductions in most areas, with independents somewhere in between. Still, majorities of Republicans say they would not support any reductions in Social Security (59 percent) and public education (53 percent), and nearly half (48 percent) say the same about Medicare. More than half of Republicans want no reductions in national defense, compared with about a third of Democrats and independents. When it comes to funding for expanding insurance coverage under the health reform law, 44 percent of Republicans say they would support major reductions, while an almost equally large share of Democrats (38 percent) want to see no reductions. SOME AGREEMENT AMONG PARTISANS ABOUT AREAS TO PROTECT Percent who oppose spending reductions in each area: Democrats Independents Republicans Social Security 69% 63% 59% Public education 71 62 53 Medicare 65 53 48 Medicaid 58 46 35 National defense 31 34 52 Unemployment insurance 48 36 24 Aid to farmers 35 37 33 Food stamps 45 34 23 Expanding insurance coverage under the health reform law 38 22 16 Funding for the conflict in Afghanistan 16 23 33 Salaries and benefits for federal government workers 22 15 9 Foreign aid 14 9 8 Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 7

Reluctance to cut Medicare and Medicaid is reflected in the large shares of the public who see these programs as personally important. More than half (55 percent) say Medicare is very important to them and their family, with increasing proportions saying so at every age, until it reaches 77 percent among those of Medicare age. MEDICARE SEEN AS PERSONALLY IMPORTANT Percent saying All ages 18-29 ages 30-49 ages 50-64 ages 65+ Medicare is very important to them and their family 55% 34% 52% 64% 77% Somewhat fewer, but still four in ten, say Medicaid is very important for their families, and another 20 percent say it is somewhat important. The share seeing Medicaid as very important rises to a majority among African Americans, Hispanics, those with lower incomes, and those in fair or poor health. The idea of an inter-generational war over Social Security and Medicare is not borne out by the survey findings. In fact, majorities across the age spectrum are unwilling to see cuts in either program. This may have something to do with younger people s concerns about their own ability to rely on these programs in the future. those not yet aged 65, the majority (57 percent) say they are very concerned that Medicare will not be there when they retire. Even 51 percent of those under age 30 say they are very concerned about this possibility. MAJORITIES IN EVERY AGE GROUP OPPOSE CUTTING SPENDING ON MEDICARE AND SOCIAL SECURITY Percent supporting spending reductions in each area: Social Security ages 18-29 ages 30-49 ages 50-64 ages 65+ Major reductions 9% 10% 7% 6% Minor reductions 33 28 22 23 No reductions 58 61 70 70 Medicare Major reductions 8 9 8 6 Minor reductions 39 35 37 31 No reductions 53 56 55 60 Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 8

MEDICARE AND DEFICIT REDUCTION The findings regarding Americans desire to protect Medicare are echoed in two questions about Medicare s role in reducing the deficit. In both cases, large majorities say the country s budgetary problems should be addressed without reducing Medicare spending (with the majority being slightly larger when Americans are told that Medicare spending reductions were already made as part of health reform). Americans show mixed familiarity with the issues underlying the need to restrain the growth in Medicare spending. On the one hand, most say they are aware that health care costs are rising faster than inflation more generally. On the other hand, their primary concern is the rise in the health care costs paid by individuals, with 60 percent saying they are very concerned with people s personal costs, 51 percent with what the nation spends on health care, and 38 percent on increases in government spending on Medicare and Medicaid. When asked about the reasons Medicare spending is increasing faster than the cost of living, large majorities cite high profits by drug and insurance companies, as well as the general rise in health care costs, Medicare and the Federal Budget Deficit Which of the following views about the role Medicare should play in reducing the federal deficit comes closest to your view? Reductions in Medicare should be part of any discussion about reducing the federal deficit 3% 28% Don t know/refused and fraud in the Medicare program. But doctors seem to have gotten their message across, as most Americans do not see doctors fees as a major reason. Hospital charges are in the middle of the list of reasons. 68% Country s budgetary problems can be addressed without reductions in Medicare Congress needs to consider further reducing Medicare spending because it would be virtually impossible to substantially reduce the federal deficit without it 4% 21% Don t know/refused 76% Since Congress just reduced Medicare spending substantially as part of health reform, they should wait before making any further reductions Note: Questions asked of separate half samples. Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) Reasons For Rising Medicare Costs In general, Medicare costs are rising faster than the cost of living. For each of the following, please tell me if you think it is a major reason, a minor reason, or not a reason why Medicare s costs are growing so rapidly. MAJOR reason MINOR reason NOT a reason Drug companies make too much money 73% 17% 10% Health care costs in general are going up 71% 23% 5% Insurance companies make too much money 69% 20% 9% There is too much fraud in the Medicare program Advances in drugs, treatments and new medical technologies are often very expensive The cost of defending against medical malpractice lawsuits 68% 60% 58% 23% 29% 32% 6% 10% 8% The Baby Boomers are reaching retirement 56% 30% 12% Hospitals are paid too much 52% 30% 15% The Medicare program is inefficient and wastes money 49% 29% 18% People are living longer Some people on Medicare are getting more tests and services than they really need 48% 46% 31% 35% 20% 16% Doctors are paid too much 33% 42% 24% Note: Items based on half sample. Don t know/refused answers not shown. Source: Kaiser Family Foundation/Harvard School of Public Health The Public s Health Care Agenda for the 112th Congress (conducted January 4-14, 2011) Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 9

Methodology This Kaiser Family Foundation/Harvard School of Public Health survey, The Public s Health Care Agenda for the 112 th Congress, was designed and analyzed by public opinion researchers at the Kaiser Family Foundation led by Mollyann Brodie, Ph.D., including Claudia Deane, Liz Hamel, Sarah Cho, Bianca DiJulio, and Theresa Boston and by Professor Robert Blendon, Sc.D. and John Benson at the Harvard School of Public Health. The survey was conducted January 4 through January 14, 2011, among a nationally representative random sample of 1,502 adults ages 18 and older. Telephone interviews conducted by landline (1,000) and cell phone (502, including 203 who had no landline telephone) were carried out in English and Spanish by Social Science Research Solutions. The margin of sampling error is plus or minus 3 percentage points. For results based on other subgroups, the margin of sampling error may be higher. Note that sampling error is only one of many potential sources of error in this or any other public opinion poll. The full question wording, results, charts and a brief on the poll can be viewed online at http://www.kff.org/kaiserpolls/8134.cfm. Kaiser Family Foundation/Harvard School of Public Health, The Public s Health Care Agenda for the 112th Congress (conducted Jan 4-14, 2011) 10

The Henry J. Kaiser Family Foundation Headquarters 2400 Sand Hill Road Menlo Park, CA 94025 Phone: (650) 854-9400 Fax: (650) 854-4800 Washington Offices and Barbara Jordan Conference Center 1330 G Street, NW Washington, DC 20005 Phone: (202) 347-5270 Fax: (202) 347-5274 www.kff.org This publication (#8134-F) is available on the Kaiser Family Foundation website at www.kff.org. The Kaiser Family Foundation is a non-profit private operating foundation, based in Menlo Park, California, dedicated to producing and communicating the best possible analysis and information on health issues.