Chamber Urges Health Care Options for Small Businesses

WASHINGTON, D.C. – The United States Chamber of Commerce today announced its support for federally regulated associated health plans, which will increase the availability of health coverage for workers at America's small businesses.

"Small-business employers who offer health coverage do so because it is good business practice and helps them compete for workers," said Bruce Josten, Chamber executive vice president for government affairs. "For small businesses that do not, cost is often the biggest barrier. By allowing small businesses to pool together when buying health coverage, they will have the increased clout, economies of scale and bargaining power now enjoyed by larger companies and unions."

The Chamber applauded U.S. Sen. Olympia Snowe (R-Maine) for introducing the "Small Business Health Fairness Act," along with cosponsors U.S. Sens. Kit Bond (R-Mo.) and Jim Talent (R-Mo.).

Health coverage is the most sought-after benefit offered by employers, according to the Chamber. Making health care more affordable for small businesses will reduce the number of uninsured Americans. Recent reports by both the Department of Labor and the Small Business Administration highlight the advantages of establishing federally regulated association health plans, which the studies find would expand high quality coverage to millions of uninsured working families and reduce health plans' administrative costs.

The Chamber supports allowing bona fide associations to sponsor health plans that comply with rules under the Employee Retirement Income Security Act to prevent "cherry-picking" the healthiest risks and ensuring the financial solvency of plans. The "Small Business Health Fairness Act" will allow small businesses to play by the same set of rules as large companies and unions, rather than follow 50 different state insurance regulatory regimes.

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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