House passes sweeping U.S. healthcare overhaul

WASHINGTON, (Reuters) – The U.S. House of  Represen-tatives approved a sweeping healthcare reform bill on Saturday, backing the biggest health policy changes in four  decades and handing President Barack Obama a crucial victory.

On a narrow 220-215 vote, including the support of one  Republican, the House endorsed a bill that would expand coverage to nearly all Americans and bar insurance practices  such as refusing to cover people with pre-existing conditions.

Most Republicans criticized its $1 trillion price tag, new  taxes on the wealthy and what they said was excessive  government interference in the private health sector.

Democrats cheered and hugged when the 218th vote was  recorded, and again when House Speaker Nancy Pelosi pounded the  gavel and announced the results.

The battle over Obama’s top domestic priority now moves to  the U.S. Senate, where work on its own version has stalled for  weeks as Senate Democratic leader Harry Reid searches for an  approach that can win the 60 votes he needs.

Any differences between the Senate and House bills  ultimately will have to be reconciled, and a final bill passed  again by both before going to Obama for his signature.

“Thanks to the hard work of the House, we are just two  steps away from achieving health insurance reform in America.  Now the United States Senate must follow suit and pass its  version of the legislation,” Obama said in a statement after  the vote.

“I am absolutely confident it will, and I look forward to  signing comprehensive health insurance reform into law by the  end of the year,” he said.

The overhaul would spark the biggest changes in the $2.5  trillion U.S. healthcare system, which accounts for one sixth  of the U.S. economy, since the creation of the Medicare  government health program for the elderly in 1965.

The vote followed days of heavy lobbying of undecided  Democrats by Obama, his top aides and House leaders. The narrow  victory was clinched early on Saturday by a deal designed to  mollify about 40 Democratic opponents of abortion rights.

Democrats had a cushion of 40 of their 258 House members  they could lose and still pass the bill. In the end, 39 Democrats sided with Republicans against it.

The lone Republican to vote in favor of it was first-term  Representative Anh Cao of Louisiana. “It was a bipartisan vote,” Democratic leader Steny Hoyer said to laughter among  fellow Democrats afterward.

The landmark vote was a huge step for Obama, who has staked  much of his political capital on the healthcare battle. A loss  in the House would have ended the fight, impaired the rest of  his legislative agenda and left Democrats vulnerable to big  losses in next year’s congressional elections.

Obama traveled to Capitol Hill on Saturday morning to meet  with House Democrats and emphasize the vital need for the  healthcare reform bill.

Republicans and Democrats battled in sometimes testy debate  through the day and into the night on Saturday over the bill,  which would require individuals to have insurance and all but  the smallest employers to offer health coverage to workers.

It would set up exchanges where people could choose to  purchase private plans or a government-run insurance option  bitterly opposed by the insurance industry, and it would offer  subsidies to help low-income Americans buy insurance.

Congressional budget analysts say the bill would extend  coverage to 36 million uninsured people living in the United  States, covering about 96 percent of the population, and would  reduce the budget deficit by about $100 billion over 10 years.

“We can’t afford this bill,” said Republican Representa-tive  Roy Blunt. “It’s a 2,000-page road map to a government takeover  of healthcare.”

Democrats rejected on a 258-176 vote the much smaller Republican healthcare plan, which focused on cost controls and  curbing medical malpractice lawsuits but did not include many  of the insurance reforms of the Democratic plan.