Author Archive: cgroff

“We’re here to say it’s not OK”: Hundreds of People Protest AHIP Lobbyists Yesterday

Friday, October 23rd, 2009

Ralliers gather in DC to protest insurance company lobbyists

When we heard news that our coalition partners at Health Care for America Now and the AFL-CIO had plans to host a protest against America’s Health Insurance Plans (AHIP), which represents the health insurance industry and recently released a false report attacking health care reform, we grabbed our “Youth for the Public Option” signs and joined them.

After a galvanizing speech by AFL-CIO President Richard Trumka, over 400 people marched to the Capitol Hilton where lobbyists from America’s Health Insurance Plans (AHIP) were meeting to discuss their despicable views on health care reform. The protesters picketed all along the block where the Hilton was located, chanting up and down the sidewalks on both sides of the street.

Seven families with heartbreaking stories of abuse by insurance companies flew into DC from all over the country in hopes of meeting with top insurance officials, including AHIP CEO Karen Ignani. But the big shots wouldn’t come out to hear their mistreated consumers’ stories.

Still, morale was strong, with people shouting chants like, “AHIP, get off it! People over profit!”

The rally demonstrated citizens’ dedication to achieving effective health care reform. Amidst clamorous applause, Trumka entreated protesters to “call those senators, and let them know that it’s not OK to have the insurance companies happy unless the American public are healthy… We’re going to have to redouble our efforts, we’re going to have to make more calls, we’re going to have to write more letters, and [we] will not stop until the health care bill that families desperately need, and desperately deserve, is signed by President Obama.” We support that 100%.

Being a Woman Is Not a Pre-Existing Condition

Tuesday, October 20th, 2009

womens-health-insurance“A Woman Is Not a Pre-Existing Condition.” So declared the T-shirts sported by several of the (mostly female) audience members at Thursday’s Senate hearing addressing the urgent problem of gender-based discrimination in the health insurance system. During Congress’ struggle over the past months to pass effective health care reform, this is one vital issue that has been falling between the cracks. Stopping unequal treatment of women by health insurers seems like a no-brainer initiative – one that we should have dealt with years ago – but it has not gotten the public attention it deserves.

In thirty-eight states, it is legal for insurance companies to charge women astronomical premiums compared to those for men, and to treat pregnancy and domestic violence as “pre-existing conditions.” A 2008 report published by the National Women’s Law Center shows that “insurers who practice gender rating charged 40-year-old women from 4% to 48% more than 40-year-old men.” Additionally, in eight states plus the District it is legal for insurers to refuse coverage to a woman because she has been/is being domestically abused. This practice especially, in which women are punished for being victims, is a horrific measure of how unjust our current system is.

(more…)

Iowa Lender Fails Again, Proving the Need for Reform

Wednesday, October 7th, 2009

53213877_55b736f882We didn’t think we needed any more proof that the Senate student aid bill is absolutely vital for protecting the finances of college students nationwide, but recent developments in Iowa put the icing on the corrupt lending cake.

The public learned Tuesday of the second judicial ruling against Iowa Student Loan Liquidity Corp. in a month. We now know conclusively that between 2004 and 2006, the private, “nonprofit” ISL lied about its eligibility for particular federal subsidies. So now it owes the government $2.4 million.

This is on top of the $15.76 million it was ordered to repay last week after courts discovered that ISL inexcusably used illegal bribes to increase business.

These crooked and predatory lending practices are despicable. They clearly display the need for better loan company regulation and more trustworthy financial options for cash-strapped students. Now it is the Senate’s turn to be appalled and make a change. Take a stand and show them that you demand better protections from companies like ISL. You can easily Tweet, email, fax or call your Senator today to express your support for the student aid bill.

The current system simply can’t continue. As young people, we need to safeguard our future.

At Least Your Yacht Is Dischargeable…

Friday, September 25th, 2009

Even if students go bankrupt, private lenders still make them pay up

Even if students go bankrupt, private lenders still make them pay up

“What is so different about discharging student loans that is different from everything else that is dischargeable?” asked Rep. John Conyers, Jr. (D-MI) at Wednesday’s hearing about private (“alternative”) student loans and bankruptcy. “This isn’t a gambling debt, this isn’t something against the common good.” The hearing was held to reconsider a law that allows private lenders to prevent loans from being discharged if a student declares bankruptcy.

Unfortunately, only 4 out of 14 other committee members attended, but the majority of senators and witnesses echoed Conyers’ sentiments. The harsh and unforgiving treatment of private student loan debt is the exception to the rule for most noncriminal consumer debt. The current policy protects private lenders and puts borrowers in dire financial straits. Although federal student loans are also not dischargeable, they have numerous consumer protections, repayment options, and loan forgivness programs in place– private lenders do not.

There is a grave need to change this strange and dangerous policy. Witness Lauren Asher, President of the Institute for College Access and Success, spoke about the desperate situations of student borrowers today. College costs have outpaced family incomes, and financially trapped students must have honest lenders who will not prey on their need or ignorance. But Asher cited some highly disturbing examples of the predatory lending epidemic raging across our nation’s campuses.

(more…)