16 Aug 2009

Obama defends health care plan, criticises insurers

3:27 pm on 16 August 2009

US President Barack Obama reignited his criticism of health insurance companies, promising reforms that would prevent firms from capping coverage or charging "outrageous" fees.

Traveling to a conservative area of Colorado, a western state that supported Mr Obama in the 2008 election, the president continued his assault on companies that the White House has painted as being at the root of the country's healthcare woes while defending his proposals to fix the system.

"Insurance companies will no longer be able to ... place an arbitrary cap on the amount of coverage you can receive or charge outrageous out-of-pocket expenses on top of your premiums," Mr Obama told the crowd of roughly 1,500 people.

"No one in America should go broke because they get sick," he said to loud applause.

Mr Obama, a Democrat, has stepped up his attacks on insurance companies in recent days.

On Friday, he told a town hall event in Montana that insurance firms were holding the country hostage.

In his weekly radio address Mr Obama said US healthcare worked better for insurance companies than for patients.

Republicans and some Democrats have also raised concerns about the cost of the nearly $1 trillion overhaul to extend coverage to millions of uninsured Americans.

Mr Obama says he will not raise taxes on Americans making $250,000 a year or less in order to pay for the overhaul.