Democrats have long held a political edge when it comes to healthcare, but President Donald Trump is now shifting the landscape in Republicans’ favor. This comes after skyrocketing healthcare costs resulting from years of special interest-fueled policies and failed liberal political agendas finally began taking their toll. In tandem, several smart, commonsense, Trump-aligned policy proposals that have uniquely broad public appeal are now making their way through Congress.
According to recent investigative reports from the Wall Street Journal, employers who provided coverage for workers last year saw the biggest increases in healthcare costs in almost 15 years, up nearly 10%. That equates to a staggering average cost of roughly $25,500 per family plan. Meanwhile, the Democrats’ ironically named Affordable Care Act clearly isn’t working as promised, with Obamacare premiums for many families slated to increase 20% or more next year. Add in more costs being passed on to families in the form of higher insurance deductibles and copays, along with middleman fees and reduced access and benefits, and the frustration has rightfully boiled over.
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In walks Trump — likely the only political leader who could take what has been such a long-standing vulnerability for Republicans and turn it into yet another 80/20 winning political matter. Don’t believe us? Look at the numbers. Recent polling for the Most Favored Patient initiative showed overwhelming support for many of his major healthcare proposals. Why? Because they’re reforms that put patients and families first — not big corporations, bureaucrats, and spend-happy politicians.
For example, prescription drug prices are far too high. Much of this is due to layers of bureaucracy and cost-shifting across big insurers and corporate intermediaries who inflate the drug prices paid by patients, especially seniors. In tandem, patients here at home pay higher prices because foreign countries impose price controls to avoid paying their fair share for the billions of dollars needed to develop U.S. medical innovations.
Among the most simple and transformative reforms offered by Trump is his push to allow direct-to-patient sales of medicines straight from U.S. drug manufacturers. These could be mailed directly or picked up at the local pharmacy, bypassing the big markups, added fees, or other costs imposed by big health insurance conglomerates. If the cash price is cheaper than using insurance, as is often the case, patients have that option. Our polling showed that over 85% of likely voters support the White House’s direct-to-patient plan.
Likewise, nearly 80% of voters support Trump’s efforts to end foreign freeloading off U.S. medicines through tougher trade negotiations. Why should patients in the U.S., where we invest the trillions of dollars needed to discover and produce the lion’s share of lifesaving treatments for the world, pay higher drug prices than those in wealthy European countries? This backward system doesn’t just adversely impact the U.S. companies that develop them but also our workforce and patients who are forced to absorb higher costs.
More than three-quarters of voters also support a NATO-like innovation investment policy championed by Tomas Philipson, a former University of Chicago professor who served as chairman of Trump’s National Economic Council. His plan would require wealthy foreign nations to contribute defined levels of investment to ensure U.S. companies, workers, and patients do not bear the vastly disproportionate costs of developing cutting-edge medicines compared to other countries.
Perhaps more for grand negotiating effect, Trump has also floated the idea of domestic drug price control measures. Many who are opposed, however, argue that when his other healthcare policies are viewed in aggregate, such action would be unnecessary and even counterproductive to his broader economic and national security agenda. Since just last January, Trump has secured over $300 billion in U.S. private sector research and development-based drug manufacturing and workforce investments. That not only benefits the U.S. economy and its workers but also mitigates supply chain and innovation threats from China and others. It’s also notable that these Trump-led domestic investments to counter China garner support from over 80% of voters.
In short, Trump’s Art of the Deal may already be in play here.
Trump also knows that the biggest healthcare concern among voters is the cost of health insurance, including premiums, deductibles, and copays (59%). Insurer-imposed costs have gone through the roof when Democrats have had majorities. Big insurers have gotten bigger and bolder, consolidating subsidiary networks with vast control over not just employer and private insurance markets, but also over taxpayer-funded health programs such as Medicare and Medicaid.
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This is probably why the Trump administration has been so focused on price transparency. According to our poll, roughly 90% of voters also want health insurers and providers to be required to tell patients the cash price of procedures and treatments in advance. Further, nearly the same amount supports strong penalties against insurers who secretly alter Medicare patients’ medical records in order to charge taxpayers billions more than they should — something the GOP-led No UPCODE Act now being considered in Congress would solve.
Once again, Trump is tapping directly into what voters actually see, feel, and suffer from each day, versus what the liberal political elites and media want them to believe. Healthcare is no different, and Republicans in Congress would be wise to embrace and run on this reform agenda more broadly in the next election.
Stephen Moore is a co-founder of Unleash Prosperity and a former senior economic adviser to President Donald Trump. Jim McLaughlin is president of McLaughlin & Associates, a survey research and strategic services company.
