Press Release: AHIP Briefs Congressional Staff on New Access Proposal

AHIP Briefs Congressional Staff on New Access Proposal

Thursday November 30, 12:00 pm ET

Plan Would Expand Access to Health Insurance Coverage to All Americans

Survey Found That the American Public Wants Congress to Address This Critical Issue

WASHINGTON, Nov. 30 -- Congressional staff members were briefed today at an event on Capitol Hill on a new policy proposal put forth by America's Health Insurance Plans (AHIP) to expand access to health insurance coverage to all Americans.

The plan is designed to expand access to health insurance coverage to all children within three years and 95 percent of adults within 10 years. It would expand eligibility for public programs, enable all consumers to purchase health insurance with pre-tax dollars, provide financial assistance to help working families afford coverage, and encourage states to develop and implement access proposals.

"We are committed to working with federal legislators from both parties to advance a positive agenda for health care reform," said James Roosevelt, Jr., President and CEO of Tufts Health Plan. "This bipartisan plan provides a practical, fiscally responsible, and politically achievable solution that builds upon the strengths of the current system while utilizing the innovation and efficiency of the private sector."

AHIP commissioned a public opinion survey which found that voters rank access to affordable health care their number one domestic priority. According to the survey conducted by Ayres, McHenry & Associates, Inc. and The Glover Park Group on behalf of AHIP, 80 percent of adults want Congress to do more to extend access to coverage.

"The American public wants Congress to address this critical issue," said Karen Ignagni, President and CEO of AHIP. "Our members have put forth a bold set of federal policy reforms that can act as a roadmap to reforming the health care system in a way that will provide over 40 million uninsured Americans will access to affordable coverage."

Full implementation of this proposal is expected to cost the federal government approximately $300 billion over a 10-year period. AHIP expects these reforms to reduce the rising cost of uncompensated care, thus saving money in the long run.

"We currently spend nearly $50 billion a year in uncompensated care for uninsured Americans. This is putting an undue burden on hard working families who are paying approximately a thousand dollars a year in higher premiums to offset these costs," said Ignagni. "The cost of inaction is just too great to ignore. We can actually save money by bringing uninsured Americans into the system and helping them get the care they need."

The AHIP plan calls for enactment of federal legislation that provides significant financial incentives to states and makes changes to federal tax policy to make health coverage more affordable. Key elements of the AHIP plan include:

* Expanding the State Children's Health Insurance Program (SCHIP) to make
eligible all uninsured children from families with incomes under 200
percent of the federal poverty level (FPL).

* Establishing a health tax credit of up to $500 for low-income families
who secure health insurance for their children.

* Improving and expanding Medicaid to make eligible all uninsured adults,
including single adults, with incomes under 100 percent of FPL.

* Establishing a Universal Health Account (UHA) to allow all individuals
to purchase any type of health care coverage and pay for qualified
medical expenses with pre-tax dollars, with federal matching grants for
contributions made by working families to the UHA.

* Establishing a new $50-billion Federal Performance Grant to assist
states in expanding access to coverage.

The Capitol Hill briefing is part of an ongoing effort by the health insurance industry to expand awareness of and build support for these policy proposals. AHIP is also devoting significant resources to a new "We Believe" campaign. This effort includes a national community outreach program led by AHIP board members, advertising in opinion-leader publications, and earned media outreach.

To learn more about AHIP's reform proposal, please visit http://www.ahipbelieves.com.