Arnie's health care reform plan

California Governor Arnold Schwarzenegger (who is recovering from a broken leg) has announced a health care reform plan which will require coverage for all Californians:

Speaking about his plan for the first time via a video link to a meeting of healthcare stakeholders, Governor Schwarzenegger said this was not a question of whether everyone should be covered, the legislation already says they must, but a matter of how to pay for it. He is proposing to spread the cost among individuals, businesses, insureres, government, and healthcare providers.

Under his scheme, all citizens will have to be insured, with the poorest being helped through subsidies. One of the biggest shocks will come to the small and medium business sector, where those employing 10 people or more will either have to offer insurance to their employees or pay 4 per cent of their payroll to a state scheme. Hospitals will also have to pay 4 per cent of their income, and doctors 2 per cent.

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