October 01, 2000

The Costs of Question 5 to Massachusetts Taxpayers, Employers and Consumers

In a major study of the effects of Question 5-the health care measure that appeared on the November ballot-MTF concludes that the initiative would cost state taxpayers, employers and consumers between $2.8 and $5.6 billion, in addition to the significant increases that are already taking place. These figures reflect sharply higher premiums that would have to be paid by private and public employers for health coverage for their employees, higher costs for the publicly financed Medicaid program, and major additional expenses for a new health insurance entitlement for all Massachusetts residents. The report played a critical role in defeating Question 5, which would have eliminated most if not all of the elements of managed care.