False Talking Point Alert — Number Two in a Series
Email“The cost of health care now causes a bankruptcy in America every thirty seconds," President Obama said at the opening of his White House forum on health care reform just now.
ABC News polling director Gary Langer says this just isn’t so.
The claim, based on a 2001 survey, "is simply unsupportable," he writes. "The figure comes from a 2005 Harvard University study saying that 54 percent of bankruptcies in 2001 were caused by health expenses."
But the Harvard survey asked those filing bankruptcy whether health care costs were “a reason" behind their troubles. They were included.
They also included any bankruptcy filers with $1,000 or more in unreimbursed medical expenses in the previous two years.
Moreover, the Harvard researchers’ use of the term “medical” for expenses includes issues such as having a gambling problem.
"We reviewed it internally and knocked it down at the time," says Langer about the report. "An academic reviewer did the same in 2006. Recalculating Harvard’s own data, he came up with a far lower figure – 17 percent. A more recent study by another group, approaching it another way, indicates that in 2007 about eight-tenths of one percent of Americans lived in families that filed for bankruptcy as a result of medical costs.
Read Langer’s whole fact-check HERE.
Note: Factcheck.org took a look at this claim and concluded that there was a bankruptcy declared every 30 seconds last year, but "even a very high estimate, like the Harvard study…would only attribute half of those personal bankruptcies to medical expenses. So that’s one health-related bankruptcy every minute at most.”
Factcheck took a more thorough look at the Harvard study in December 2008.
- jpt
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“Twenty-seven percent cited uncovered medical bills specifically,”…(from the Harvard Review)”
You have to really drill down to get to the facts, huh? Thanks for clarifying that.
Posted by: Sigmonde | March 5, 2009, 2:00 pm 2:00 pm
I am glad and sad at the same time.
Glad that Jake is doing fact checks on politician bs.
Sad that I have to applaud him for it because he is one of the few that actually do it.
As far as Obama’s statement goes, it should be adjusted to reflect the much more conservative estimate which is still fairly shocking.
Posted by: Ryan C | March 5, 2009, 2:07 pm 2:07 pm
So the vaunted fact check takes the Harvard study at face value, and the OBAMA statement is still a LIE by a whopping 100%? Obama assigned EVERY bankruptcy as being caused by medical costs, and the media doesn’t bat an eyelash. Gibbs again repeated that lie yesterday at the press briefing, again, the media swallows it whole because the media and Obama agree ideologically on the issue so why bother doing their job, right? Just submit and obey, irrelevant of the lies, correct lefties?
Posted by: G | March 5, 2009, 2:07 pm 2:07 pm
Keep it up Jake. I just know that Obama is a liar.
Thanks Jake, stay on him like stink on ####.
Posted by: Kevin in MA | March 5, 2009, 2:10 pm 2:10 pm
“I used to support President Barack Obama, but I hope Barack Obama fails.”
So you supported him for a month and half? Do you now support Rush Limbaugh?
Posted by: Mack | March 5, 2009, 2:27 pm 2:27 pm
BREAKING NEWS
According to CNN Member of RNC Has asked for Steele to Resign from Chairman Saying he is an Embaressment to the GOP Hah hahahahah the Republicans are in such a Mess!
Posted by: Angie in PA | March 5, 2009, 2:29 pm 2:29 pm
Jake,
How about a “fact-check” on the GOP’s new talking point where they claim Rush never said he wants Obama to fail (just his policies). I’ll make it a little easier on you. Here is the direct Limbaugh quote: “I hope he fails.” Not clear enough, how about this little follow-up from El Rushbo at CPAC: “I want Barack Obama to fail.” Where is the mention of policies? Why don’t you go ahead and call the GOP out on their new talking point since you’re so fair and balanced.
Posted by: Kristen | March 5, 2009, 2:29 pm 2:29 pm
jake i hope this won’t get to your head, but i find your work highly commendable. Well of course, im a center-left (libertarian[ constitution-wise ]) democrat who cares about investments in healthcare, education and energy. but i want serious change to the current system. By being even-handed, it makes it that much more impossible for congress (dems or repubs) to influence the gov’t behind the scene. If they’re blocking reform, they should come out and say so, and assume the consequences.
Posted by: lupercal | March 5, 2009, 2:30 pm 2:30 pm
Thank you, Jake. I’ve been wondering about this claim.
Posted by: MayBee | March 5, 2009, 2:31 pm 2:31 pm
Shocking Fact: over 90% of people who filed for bankruptcy drank water in the past year! Obama you’d better investigate the water supply.
ps: we need health care reform. We need to make our already “universal” healthcare system more efficient and rational. Currently everyone, incl illegal aliens and prisoners, can get healthcare: visit an ER, join the military, or go to prison. We need to take healthcare costs off our companies and have rational, universal system that maintains doctor-patient privacy (no centralized political-appointee Czar having access to ALL our health records, sexual history, alcohol/drug use, mental health, DNA, etc in some centralized database!)
Posted by: albert | March 5, 2009, 2:33 pm 2:33 pm
Obama should just drop the 30 seconds line. If the real stat is one bankruptcy per minute, that’s scary enough.
Posted by: Dave | March 5, 2009, 2:35 pm 2:35 pm
The Cowboys just dumped T.O. Tread
carefully, Mr. Prez. You’ve been
dropping every pass so far. Fans can
be fickle.
Posted by: Trajan | March 5, 2009, 2:39 pm 2:39 pm
Note: Factcheck took a look at this claim and concluded that there was a bankruptcy declared every 30 seconds last year, but “even a very high estimate, like the Harvard study…would only attribute half of those personal bankruptcies to medical expenses. So that’s one health-related bankruptcy every minute at most.”
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Well gee, only a bankruptcy a minute at most.
That’s MUCH better.
Can’t see the forest for the trees, can you Jake?
We are all better off now that you clarified this for us – NOT!
Posted by: Nashville_fan | March 5, 2009, 2:52 pm 2:52 pm
Kristen, you should perhaps research your own facts besides taking lines out of context to suit your own agenda. I don’t listen to Rush but I did look up the whole transcript. I am going to jump on his ship w/ eyes wide open and I am in ABSOLUTE agreement w/ him, Sentelli, Cramer, Joe the Plumber, ann Brooks even though I’m not a Republican supporter but am a n Independent. I am very disappointed in this president’s decision making. Even Gupta jumped ship now….Amazing that his popularity is so high but just goes to show how much America has turned into an American Idol audience..sad
Posted by: Hope | March 5, 2009, 3:14 pm 3:14 pm
Obama should drop the every 30 seconds line. One bankruptcy every minute is scary enough.
Posted by: Dave | March 5, 2009, 3:14 pm 3:14 pm
A bankruptcy every minute due to medical expenses is terrible. It is bad enought to be ill or injured but to lose your home to medical bills is pretty sad for a ‘civilized’ country. And keep in mind many of these people had health insurance but all those co-pays and dedectibles can add up fast.
The World Health Organization gives our health system 37th place out of the 191 countries they studied. The Commonwealth Fund ranked the U.S. behind Australia, Canada, Germany, New Zealand and the United Kingdom.
I am so glad that the Obama administration is going to work hard to improve our system of medical care, root out the wasteful practices, and make affordable care available to all.
Posted by: Lydia | March 5, 2009, 3:16 pm 3:16 pm
Christina Roemer was just asked about Obama making this claim, and her response was that she didn’t want to talk about specific statistics.
Posted by: MayBee | March 5, 2009, 3:39 pm 3:39 pm
“So that’s one health-related bankruptcy every minute at most.””
Um, maybe I’m crazy but even if it’s one health-related bankruptcy every minute… or every 5 minutes… or even if it’s only every hour, that’s a LOT of health-related bankruptcies, no? And shouldn’t a country like the USA be able to fix our health care system to try to avoid that?
This seems like a case of losing the forest for the trees.
Posted by: Lisa | March 5, 2009, 3:43 pm 3:43 pm
Must have been a teleprompter malfunction.
Obama would never lie–oh wait he said no earmarks.
And Obama said he doesn’t like big government.
And he never heard Rev Wright’s sermons.
Truth is Obama has no credibility or integrity.
Posted by: sammy | March 5, 2009, 3:46 pm 3:46 pm
Obama knows most Americans will foolishly believe absolutely everything he says.
This reminds me of President Pelosi’s comment about 500 million people losing their jobs every month.
Posted by: tyler | March 5, 2009, 3:50 pm 3:50 pm
The truth does not matter to Obama supporters.
Posted by: harry | March 5, 2009, 3:51 pm 3:51 pm
“The cost of health care now causes a bankruptcy in America every thirty seconds,” Obama said at the opening of his White House forum on health care reform.
The President is a prevaricator on this subject. With this guy you really can’t think of how many things he has on his mind and even when he speaks you don’t know if he is telling us the truth.
Mr. President, if you think you have to do all of the swell things you were going to do for us, all at one time, you really are in trouble.
First it was foreclosers, and he talked about plans, but there are none to be seen where I live. Next thing, medical plans for the masses. Don’t think that this is going to be a snap. We know the Democrats want more than we do, but we’ll want to have some imput. Do you think he’ll have one or both of these problems solved or will he have to someone to complete both of these messes after this term?
Posted by: elainekramer | March 5, 2009, 3:56 pm 3:56 pm
It is by no means accurate to say there is a bankruptcy due to health care costs at the rate of even 1 per minute. The Factcheck link discusses how complicated it is to determine.
One complicating factor is job loss or loss of income that can come with injury or illness. An independent house painter, for example, who breaks an arm would not necessarily have a huge medical expense, but would experience a loss of income for several months. If his finances are not strong before his injury, even if his health care were paid for, the injury could send him into bankruptcy. Universal health care will not eliminate that problem.
President Obama needs to lead on this issue by being as clear as possible.
Posted by: MayBee | March 5, 2009, 3:58 pm 3:58 pm
This just in… One month into Obama’s term 59 percent of Americans approve of the job he is doing as president, down from 65 percent just three weeks ago (27-28 January 2009). Similarly, the portion of people that disapproves has increased to 26 percent, up from 16 percent! Now that’s what I call a trend!
Posted by: None of the Above | March 5, 2009, 4:23 pm 4:23 pm
Obama is right and he got his info from AARP and insurance company that has it one the books.
Geez, get out to date, 2001 that’s eights years after the fact and health care cost has gone up by 115% in these eight years.
Posted by: Ethel | March 5, 2009, 5:09 pm 5:09 pm
Not included in the statistics cited in the study is the fact that many bankruptcies are individuals acting as businesses, who can’t make their bills, including health insurance. Also not included in bankruptcy statistics are the millions of personally insolvencies who are ineligible for bankruptcy.
Posted by: Flash Override | March 5, 2009, 9:01 pm 9:01 pm
Oh sjeez Jake
One every minute, in 2001.
And now?
There’s no problem then? According to you?
Posted by: Willem van Oranje | March 6, 2009, 8:29 am 8:29 am
One complicating factor is job loss or loss of income that can come with injury or illness.
Posted by: MayBee
============================================
You can insure yourself against that, but a lot of small businesses or self employed can’t because their health insurance costs prevent them from doint that.
Posted by: Willem van Oranje | March 6, 2009, 8:32 am 8:32 am
“We reviewed it internally and knocked it down at the time,” says Langer about the report.
=============================================
Yeah. We know how he did that. The study was based on data from 2001.
Langer “knocked it down” with data from
…
[wait for it]
…
2000
Yeah, right. The election from 2008 produced different results from 2004 too…
Posted by: Willem van Oranje | March 6, 2009, 8:49 am 8:49 am
Thank God someone in the press is actually analyzing what that liar is saying.
Posted by: drjohn | March 6, 2009, 11:43 am 11:43 am
The cost of health care now causes a bankruptcy in America every thirty seconds,”
Is there anybody left who has not filed for bankruptcy??????????? Go start adding it up 30 seconds into 8 years.
Let me know what you come up with.
Posted by: Lizzie | March 6, 2009, 12:57 pm 12:57 pm