10 11 17 171011 s 1859 healthcaretaxreliefact gardner

Published

October 11, 2017

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On October 11, 2017, the U.S. Chamber of Commerce sent this letter to Senator Cory Gardner supporting the introduction of S. 1859, the "Healthcare Tax Relief Act."

October 11, 2017

The Honorable Cory Gardner

United States Senate

Washington, D.C. 20510

Dear Senator Gardner:

The U.S. Chamber of Commerce applauds your introduction of S. 1859, the “Healthcare

Tax Relief Act,” which would extend the moratorium on the annual fee on health insurance

providers.

S. 1859 would provide critical and timely relief from the Affordable Care Act’s perverse

and harmful tax on health insurance premiums, which would further increase already escalating

premiums for tens of millions of Americans. If the health insurance tax (HIT) comes into effect

in 2018, it will harm Americans purchasing many different types of insurance including

individuals, families, small businesses, larger companies, and seniors covered with Medicare

Advantage as well as Medicare Part D prescription drug coverage.

In 2018 alone, the HIT will increase premiums for families purchasing coverage in the

large group market by more than $500 according to actuarial analysis performed by experts at

Oliver Wyman.

Further, because of the regulations implementing the tax, the amount collected in 2018

through higher premiums is even more than the $14.3 billion attributable to the statutory fees. As

a result, the total premium impact of the HIT in 2018 on hard-working Americans and retirees

will be as much as $22.0 billion.

Repealing the HIT is a vital and necessary step to make health insurance more affordable

for small businesses and individuals.

10 11 17 171011 s 1859 healthcaretaxreliefact gardner