Obama lobbies U.S. doctors on healthcare reforms

By David Alexander

CHICAGO (Reuters) - President Barack Obama warned doctors on Monday the U.S. healthcare system was a ticking time bomb and urged them to support his overhaul, which includes a public insurance plan that many of them view with scepticism.

Obama took his healthcare campaign to the annual meeting of the influential American Medical Association, which represents 250,000 doctors and has historically been opposed to a bigger government role in healthcare.

"If we do not fix our healthcare system, America may go the way of GM; paying more, getting less, and going broke," Obama said, likening the healthcare system to struggling carmaker General Motors, which has filed for bankruptcy protection.

"Make no mistake: the cost of our healthcare is a threat to our economy," said Obama, who wants a healthcare reform bill on his desk by October.

"It is a ticking time bomb for the federal budget. And it is unsustainable for the United States of America," he said.

The U.S. healthcare industry costs about $2.5 trillion annually but leaves 46 million Americans uninsured and with little access to medical care.

Obama's speech comes as debate sharpens over elements of the healthcare overhaul being drafted by Congress, including how to pay for the plan and whether it should include a public insurance program to compete with private insurers.

Health-related stocks fell more steeply than the 2.13 percent tumble in the Dow Jones Industrial Average on Monday. The Morgan Stanley Healthcare Payor index fell 2.95 percent while the Amex Pharmaceutical index fell 2.85 percent.