If there’s one reason to still think the healthcare bill will still fail, it’s abortion.A group of pro-life Democrats, led by Michigan Rep. Bart Stupak have promised to vote “NO” if the bill doesn’t have strong language preventing public money from going towards abortions.
Predictably the debate is breaking down along typical lines, with the typical pro-life folks landing on one side, and the pro-choice folks falling on the other.
The debate is tired and predictable, and not what we’re interested in in any way.
But here’s the real issue: Abortion shouldn’t be covered by insurance, because the nature of it is not what insurance (a risk-management product) works for.
As a financial product, the whole notion of insurance is to protected against long-tail, financially-devastating, unexpected risks. So for example, traditional insurance doesn’t cover: teeth cleanings, glasses, healthy food, gym memberships, massages, etc., all of which are things that may be somewhat costly, but don’t fall into the category of out-of-the-blue, financially devastating, unpredictable events. Even many pills must be paid-for out of pocket.
A first-trimester abortion apparently cost up to $1,000. That’s pricey, to be sure, but not the kind of shock, out-of-the-blue event that ought to warrant a special risk-management product. (Apparently they can go up to $10,000 for late-term ones, so that is something to consider.)
It’s easy to get caught up in the emotion of the issue — and we suspect that many of you reading this will have some kind of visceral reaction in some way or another — but on a simple notion of what insurance is, abortion shouldn’t be covered (nor should glasses, teeth cleaning, viagra, or haircuts).
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