Evening star. [volume] (Washington, D.C.) 1854-1972, 1948-12-27
LANCER Suggests
|GH|CoverA All
Federal Aides
Organization Asked
To Weigh Compulsory
Plan for Employees

Chairman LANCER of the Senate
Civil Service Committee today asked
Group HospitaNzation, Inc, officials
to consider the possibility of making
its hospital prepayment plan COM
pulsory for all Government workers
and to collect payments by payroll
deductions.
His suggestion was made at a SUBJ
committee hearing Senator LANCER
called to investigate all phases of
the neutrality-suspicious. as it
affects Federal workers.
Questioning Vice Admiral Ross r.
McIntire, former physician to Pres
1dent Roosevelt and a CHI Board Of
Trustees member, the chairman
said there are many workers who
simply don't realize they should en-
roll for this service until they get
into trouble"
Agrees Many Pass Up Plan.
DR.. McIntire said he could see no
good reason why the plan should be
compulsory because it is offered to
Government workers. He agreed,
however, that many do not take adj
vantage of the opportunity.
senator LANCER also asked Why
CHI. chartered by Congress as a
charity group. could not offer it's
services to all 100000 Federal
workers, whether they live here or
not. Joseph H. Hines, CHI presi-
dent, said this would be difficult
because the group has contracts
only with hospitals here,
Senator LANCER also told Mr..
Hines he though 1T is GHI,s Job" to
offer insurance coverase against
hospital bills to individuals who ara
not employed in establishments
which have set up group plans. He
pointed out that this is authorized
IN the charter. which makes CHI
taX-eXempt.
Mr.. Hines said that was "a
thought-provoking proposal" but
That CHS next move is to rebuild
a rapidly falling reserve fund. And
Wnen we meet this other problem"
ne said. I'VE must do it in a way
That is economically sound or we
can't continue to offer any service"
Outlines Two Proposals.
At the same time, Mr.. Hines dis
closed ne will ask the CHI Board
to consider two proposals to expand
the service. which now covers 377,.
600 Washington residents.
The first, he declared, would allow
subscribers to keep their policies
after the age of IS even if they are
unemployed. At present, those over
IS are dropped from CHI rolls If
they retire or lose their jobs.
This other, he said, would increase
payments to Freemen's Hospital.
The hospital-which cannot con.
tract with CHI because it Is a Fed
eral institution - now receives
smaller payments than do most
private hospitals, he explained.
Mr.. Hines said he hoped even
tually that CHI would cover every
one except indigents. "And the
INDECENT problem is an obligation
the Government should meet 100
per cent" he added.
Says CHI Hats Moves to Left.
Mr.. Hines, obviously referring to
Administration plans for compulsory
health insurance, held up CHI as
the type of service to halt moves
toward the left" He said some of
these health proposals may taste
very sweet" but that he was afraid
of where they might lead. :
"A kiss in itself might be quite
innocuous," he added. But what
it leads to may be very dangerous
and destructive.
Pointing to real fear today
that probably there is some more
socialized health plan in the of1ng,"
Mr.. Hines said he didn't see how
you can very we'll have a capitals
tic and socialistic government
under the same roof"
Mr. Hines traced early develop
ment Of CHI, and said it probably
was the fourth earliest hositaliza-
ton prepayment plan in the Ma
ton. Under questioning, he ex-
planned that Government employees
payments are collected by group
treasurers" on the Federal payroll
in each agency.
Praises Collectors.
Asked how many did the collect
ing on Government time, Mr..
Hines said he had been told a
great many collect on their own
time. If they work on Govern
ment time" he added, Il think the
Government is making fine ges-
ture for the welfare of its people"
Praising the efficiency and honesty
of these non-bonded volunteers, Mr..
Hines said only $3.50 was lost
during 1947 through the handling
of money by over 1000 treasurers.
Mr.. Hines said the CHI reserve
fund dropped from $1,21S,OO0 last
year to $677 900 through October of
this year. Through rate increases
that went into effect several weeks
ago, he estimated the income would
jump from about $500, 900 this year
to about $4,000 900 in 1919. The drop
in reserves, he explained, was traced
chiefly to increased payments to
hospitals for giving treatment.