President proposes $100 billion reduction of U.S. deficit in next 10 years

Proposal intends to offer Americans more control over health care choices.

President Barack Obama today unveiled a new health care plan proposal that his administration says builds off of previous legislation and bridges the gap between the House and Senate to aid in the layout of Thursday's bipartisan meeting.

If enacted, the administration maintains the plan will cover 31 million Americans — the largest increase in federal funding since the enactment of Medicare and Medicaid.

The plan seeks expansion of Medicare drug coverage, increased federal funding and federal government authority to hinder significant increases in health care coverage rates by insurance companies. According to the administration, this type of competitive health insurance market would offer millions of Americans identical insurance choices to that of members of Congress.

In addition, the plan aims to reduce government spending by $100 billion over the next 10 years and about $1 trillion during the next 20 years, according to administration estimates, although the Congressional Budget Office said that it would not be able to score the estimated cost of the proposal in time for the President's health care summit. Greater accountability, the administration claims, would be directed towards health care by keeping premiums down and preventing health insurance industry abuse and patient denial of care ending discrimination against those with pre-existing conditions.

The threshold for the excise tax on the most expensive health care plans will begin in 2018 and will raise the cost of a family plan from $23,000 to $27,500..