Democratic U.S. Sen. Max Baucus unveiled an $856 billion health-care overhaul today that would dramatically revamp insurance rules but does not include the government-run health coverage backed by liberal Democrats, Reuters reported.

Baucus, chairman of the Senate Finance Committee, made the bill public after months of negotiations that alienated some Democrats and attracted no Republican supporters.

Many elements of the plan were released last week and closely mirror President Barack Obama’s proposal to overhaul the $2.5 trillion U.S. health-care system, his top domestic priority.

The Baucus proposal will not include a government-run “public” insurance option but calls for the creation of nonprofit cooperatives to create competition in the insurance market and reduce costs. The plan would require all U.S. citizens and legal residents to obtain health insurance and provide subsidies on a sliding scale to help people purchase coverage. Some 46 million Americans — nearly a sixth of the population — now have no health insurance.

Under the Baucus plan, insurance companies could no longer deny coverage to people due to pre-existing conditions and would be barred from offering limited-benefit plans or placing lifetime limits on coverage. The proposal also would create state-based exchanges where individuals and small businesses could shop for insurance.

The bill will not require employers to offer health insurance but companies with 50 or more full-time workers would pay a fee for employees who obtain policies subsidized by federal tax credits. The proposal will require that health insurance providers collectively pay an annual fee of $6 billion starting in 2010, with other health companies making smaller collective payments to help fund the reforms in the bill.

Baucus led months of talks among the so-called “Gang of Six” negotiators — three Democrats and three Republicans — in hopes of winning Republican support. But none of the three Republicans – Mike Enzi, Olympia Snowe and Iowa’s Charles Grassley — has endorsed the proposals so far.

The panel, which will vote on the plan next week, will be the last of five congressional committees to take up a health-care bill before each chamber votes on a final version. Some Democrats have complained about the concessions made to Republicans, particularly reductions in the bill’s scope and the elimination of the public option.