Congress Ignores Millions of Americans Without Health Insurance

WASHINGTON, D.C. – Congress ignored record numbers of Americans who lack basic health insurance today, passing legislation that will force many employers to stop providing a health care benefit, and raised the cost of health insurance for everyone, according to the United States Chamber of Commerce.

"Norwood-Dingell will move medical decision-making to the courtroom, where the only winners are the lawyers," said Thomas J. Donohue, President and CEO of the United States Chamber of Commerce. "One out of every six Americans is unable to afford basic health care coverage and Congress has responded by passing a bill that will result in even higher costs and more uninsured."

Faced with the threat of lawsuits from legislation that expands individuals' ability to sue their group health plans, such as Norwood-Dingell, many employers said they would end health care coverage for their workers, according to Chamber surveys.

Studies show that new lawsuits will only accelerate costs. As costs rise, businesses, particularly small companies, drop coverage or require employees to pay a larger share of the cost. And, as employees' costs rise, many drop individual coverage, raising the cost for those who remain.

"It's simple health care economics 101 and Congress has failed miserably," said Donohue. "Lawsuits equal higher costs, which equals less coverage, and we are on the slippery slope to single-payer socialized medicine.

"As the House and Senate craft a final bill, they must focus on proposals that will expand access to affordable coverage for individuals and small business owners, without expanding liability. It's up to the Senate to be the voice of reason in this debate and deny trial lawyers greater access to what they want: a multi-billion dollar feeding-trough from managed care health plans."

To improve health care, the Chamber supports: increasing access, controlling costs and improving quality through targeted, market-based reform measures, including malpractice reform; a binding external review system; state-mandate-exempt purchasing pools for small business; better consumer information; and full 100 percent deductibility for the self-employed and countless others whose employers are unable to offer health coverage.

The United States Chamber of Commerce is the world's largest business federation, representing more than three million businesses and organizations of every size, sector and region.

END

99-189