US President Obama unveils new health proposals

BBC News

US President Barack Obama has unveiled new plans to advance legislation to overhaul the US healthcare system.

One of the key proposals gives the US government new power to block health insurers from imposing excessive premium increases. 

Mr Obama has made healthcare reform a centrepiece of his presidency, but has so far failed to get a new law passed. 

On Thursday, Mr Obama is to hold televised, bipartisan talks at the White House to discuss the issue. 

The insurance rate proposal gives the federal Health and Human Services Department - in conjunction with state authorities - the power to deny substantial premium increases, limit them, or demand rebates for consumers, the White House said on its website.

Mr Obama's latest plan requires most Americans to carry health insurance coverage, with federal subsidies to help many afford the premiums. 

It bars insurance companies from denying coverage to people with existing medical problems or charging them more. 

A tax on high-cost health insurance plans objected to by House Democrats - and trade unions - is to be scaled back. 

Bitter debate

The Democrats' loss of a Senate seat in Massachusetts to Republican Scott Brown in January deprived them of their filibuster-proof 60-seat majority in the Senate, although they still control both houses. 

Thursday's debate is seen as a key moment in Mr Obama's bid to pass new legislation, and comes after months of often bitterly-contested congressional debates. 

Mr Obama referred to the talks in his weekly radio address on Saturday, saying: "I don't want to see this meeting turn into political theatre, with each side simply reciting talking points and trying to score political points. 

"Instead, I ask members of both parties to seek common ground in an effort to solve a problem that's been with us for generations." 

The House of Representatives and the Senate adopted different versions of the bill at the end of last year, and they must now be combined into a single bill Mr Obama can sign into law. 

Mr Obama says reform of the healthcare system is crucial for the US economy to rein in costs over the long term.