Release Date: Apr 29, 2002Contact: 888-249-NEWS


U.S. Chamber Calls New Health Care Mandates Bad Policy

WASHINGTON, D.C. — The United States Chamber of Commerce said setting new mandates for mental health parity in health care coverage is bad public policy that will send already sky-high health care costs into orbit.

"Adding new mandates on employers will not get one more sick person to a doctor, and will not fill a single additional prescription," said Bruce Josten, U.S. Chamber executive vice president. "Employers voluntarily provide 177 million workers, retirees, and their families with health care coverage — a mental health parity mandate will undermine that system."

Employer health plan costs have escalated by 28% to 60% over the last several years, according to the U.S. Chamber. Imposing new coverage mandates, no matter how popular or well intentioned, will increase those costs. As costs climb, employers will be forced to pass on some of those costs to workers. The number of workers who turn down health coverage at work is rising, in part due to rising out-of-pocket costs.

"Rather than focus on more benefits for those who have health care coverage, lawmakers should look for ways to provide coverage to those who don't have it," said Josten.

The Chamber opposes mandates because they artificially raise the cost of health plans, limit employers' ability to tailor benefits according to workforce need and demand, and stifle health plans' efforts to provide consumers with a variety of choices and the ability to select the benefits most appropriate for their personal situations.

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

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