Health Care Choice Act Should be Named

House Energy and Commerce Committee Holds Hearing on

Washington, D.C. - Today, the House Energy and Commerce Committee is holding a hearing about H.R. 2355, the Health Care Choice Act, which was introduced by Rep. Shadegg (R-AZ) on May 12, 2005. The following is the statement of Ron Pollack, Executive Director of Families USA, about the Health Care Choice Act:

"The Health Care Choice Act should be called the 'Insurer Choice Act' because it allows insurance companies to avoid important state regulations that protect consumers. Under this bill, insurers will be able to choose to sell insurance out of states with the least amount of oversight, consumer protections, and solvency standards.

"This bill would hurt more than 26 million Americans who must rely on the individual health insurance market for coverage because they are not offered health coverage through their employer or are self-employed.

"Under this bill, older and sicker consumers will lose access to health coverage because insurers would be allowed to cherry pick, choosing only the youngest and healthiest consumers, undermining states' efforts to create a balanced risk pool. Insurance companies will also be able to sell more bare-bones health insurance policies that do not include important preventive and acute care services, which will lead to more underinsured consumers. The bill would also undermine state solvency protections and impede states' ability to enforce their laws and assist consumers with problems.

"The individual health insurance market needs more consumer protections, not fewer. We are concerned that this bill would encourage a race to the bottom, removing critical state consumer protections and jeopardizing states' ability to effectively regulate insurance. The Health Care Choice Act will result in a few states with the weakest protections regulating the vast majority of the market."

To read Ron Pollack's testimony, click here.

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Families USA is the national organization for health care consumers. It is nonprofit and nonpartisan and advocates for high-quality, affordable health care for all Americans.

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