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Originally published July 30 2005

Health care reform bills being discussed in the House

by Mike Adams, the Health Ranger, NaturalNews Editor

The House of Representatives will soon consider a set of new health care bills that, if enacted, would improve the insurance industry and American health care in general.



The House of Representatives will soon consider a major package of health care bills. The package, if enacted, would significantly improve the functioning of America's health insurance markets and establish a solid foundation for further transformation of America's health care system. Policymakers at the federal and state levels are concerned about how to make existing health insurance markets work better and reduce barriers to access to coverage and care while enabling those who are chronically ill to secure the care and coverage they need at affordable prices. The third would extend federal funding for health insurance pooling demonstrations and programs, including high-risk pools, and is also based on legislation sponsored by Rep. Shadegg (HR. 3204). These arrangements to self-insure would be regulated by the Employee Retirement Income Security Act of 1974 (ERISA) and therefore would be exempt from state health insurance mandates and regulations. Because less than $5 million of the $20 million originally authorized for seed grants in TAA was actually spent, this is essentially an extension of the time for states to apply for the original TAA seed grant money. In addition, the legislation would authorize a further $50 million per year in operational subsidy grants for state high-risk pools for FY 2005 through FY 2009, for a total of $250 million. The danger is that the states will be encouraged to seek further extensions and greater subsidies as a way to shift health care costs to the federal government. While the House proposals, focused primarily on health insurance reform, would improve the functioning of existing health insurance markets, their potential impact in expanding access and controlling costs is limited without corresponding changes in federal and state tax policy.


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