NRA Supports
Association Health Plans
Release Date: 8/30/2004
WASHINGTON, D.C. - The National Restaurant Association underscored the
urgent need for Americans' access to affordable health
care as the U.S. Census Bureau announced today that the
number of Americans without health insurance has
increased to 45 million people - up nearly 1.5 million
people from the previous year. The Association said it
would continue its proactive efforts to secure passage
in the U.S. Senate of Association Health Plan (AHPs)
legislation which will allow small businesses to join
together to provide quality, affordable health insurance
to employees and their families.
"The new numbers released today by the U.S. Census
Bureau offer a disturbing look at the state of the
American health care system. It is critical that the
U.S. Senate act swiftly to address this problem in a
manner that is in the best interests of American workers
and their families," said Steven C. Anderson, president
and chief executive officer of the National Restaurant
Association. "Our members are
committed to increasing access to quality health care
for small business employees through the creation of
Association Health Plans, and through our strong
grassroots efforts we hope to spur action in the Senate
and make Association Health Plans a reality for millions
of Americans who struggle with the lack of affordable
health insurance on a daily basis."
AHP legislation has passed the U.S. House of
Representatives and was introduced in the Senate by Sens.
Olympia J. Snowe (R ME), Kit Bond (R MO) and Jim Talent
(R MO) to expand health care access for millions of
uninsured Americans. Recent studies also show that 60%
of uninsured Americans work for a small business.
The restaurant industry, the largest private-sector
employer in the country, is dominated by small
businesses. Seventy percent of all eating-and-drinking
places have annual sales of less than $500,000 and an
average work force of fewer than 50 employees. In
surveys, restaurateurs have routinely said that cost is
the biggest hurdle to purchasing or providing health
coverage.
AHPs enable small businesses and their employees to
benefit from the same opportunities as those employed by
large businesses and unions: affordable health care
through economies of scale, greater bargaining power,
regulatory uniformity and flexibility in health benefit
design. By removing barriers to affordable coverage,
this legislation will also greatly increase competition
in health insurance markets, with substantial benefits
to consumers, and a positive effect on the economy.
Restaurants are deeply affected by the rising cost of
health insurance. Studies have shown that premiums in
recent years have increased by an average of 23 percent
for tableservice restaurants alone. Unless the
increased health care costs are curbed, many employers
might be forced to eliminate health benefits for their
employees. For more information on the National
Restaurant Association's efforts on Association Health
Plans, visit
www.restaurant.org. |
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