U.S. Senator Robert C. Byrd, D-W.Va., has added his
support to legislation that would open the door to health insurance for
possibly millions of Americans currently without coverage.
"More than 44 million Americans do not have health insurance -- a group
that has been expanding each year. It is a problem that cannot be
ignored. I hope that, by opening the door to health insurance for more
small businesses, this legislation will be a significant step toward
reducing the number of Americans who go through life hoping and praying
that they do not get sick or face a catastrophic medical problem," Byrd
explained.
"In West Virginia, approximately 16 percent of our citizens -- more
than 286,000 people -- do not have health insurance. Association health
plans offer one way to give more of our state's residents with access to
affordable, good quality medical coverage. It isn't the final answer to
our health care dilemma, but it is a step in the right direction," Byrd
said.
Byrd is cosponsoring legislation that would authorize association health
plans. These are plans where small businesses can ban together through a
trade association to purchase health insurance. By joining together,
small businesses will enjoy greater bargaining power, economies of
scale, and lower administrative costs. The larger the group, the lower
the cost to the business and to the individuals that are insured.
Most Americans with health insurance obtain it through their employer,
or a family member's employer as a workplace benefit. Small employers,
however, are far less likely than larger employers to have the financial
resources to provide health insurance to their workers. In fact, almost
half of the uninsured work for, or are family members of employees who
work for, small employers.
"This proposal is one step that can be taken to open health care
coverage to more Americans. It is not the be-all, end-all, solution, but
this legislation would help to move us toward a goal that we all share,
namely, to have as few uninsured Americans as possible," Byrd said.
"Health care should not be a partisan, Democrat versus Republican issue.
For me, it is an issue of basic quality of life."
Allowing small employers to obtain their health benefits through
associations will make coverage more affordable by spreading risk among
a much larger group, strengthening negotiating power with plans and
providers, and reducing administrative costs. Furthermore, AHPs will
provide small employers with the ability to offer employees more choices
of health plans, something that is nearly impossible to do with a small
workforce.
The Byrd-backed Small Business Health Fairness Act (S.545) is sponsored
by Senator Olympia Snowe, R-Maine. The goal of this legislation is to
help thousands of our small businesses obtain stable, affordable health
care for themselves, their families, and their employees. The
legislation is pending before the Senate Committee on Health, Education,
Labor, and Pensions. |