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What Does Health-Care Reform Mean for Managed Care?

2009 could be a year of major regulatory change for the MCOs.

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With the Democrats back in control of both Congress and the White House--and with our health-care system facing ever-growing problems such as rising costs, underfunded entitlements, and a large number of uninsured--major health-care reform has returned to the national political debate in a way not seen since the early 1990s. 

Originally, we thought reform was unlikely in 2009, thanks to even more immediate economic and budgetary concerns. However, President Obama has shown that he is determined to pass major health reform legislation within his first year in office, and Congress has moved forward, with three principal bills currently under consideration--one in the House and two in the Senate. The managed care organizations, or MCOs, stand to be the most directly affected by changing U.S. health-care policy.

Matthew Coffina does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.