NU Online News Service, March 31, 2004, 5:46 p.m. EST – The National Federation of Independent Business, Nashville, Tenn., is trying to mount a big campaign to promote an association health plan bill.[@@]
The NFIB will hold a press conference on Capitol Hill Thursday to unveil an effort to support S. 545, an association health plan bill introduced by Sen. Olympia Snowe, R-Maine, chairwoman of the Senate Committee on Small Business and Entrepreneurship.
The NFIB says it also expects Secretary of Labor Elaine Chao and Sen. Jim Talent, R-Mo., to appear at the press conference.
Today, large and midsize employers can form self-funded health plans that are exempt from most state health insurance regulations.
Most small employers have to buy coverage from state-regulated health insurers, but some states let small businesses try to save money by teaming up to form self-funded plans that serve more than one company. S. 545 would give small employers the ability to join multistate health coverage purchasing groups that would be exempt from most state regulation.
Association health plan supporters, including some prominent members of health insurance agent groups, say an AHP bill would lower health coverage costs for small employers by giving small employers the same freedom from state-mandated red tape that bigger employers now enjoy.
Many consumer groups, state regulators and health insurers oppose the AHP concept. Opponents argue that AHP programs could weaken state consumer-protection efforts and put workers' medical bills in the hands of new, poorly capitalized plans with inexperienced managers.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.