For Immediate Release June 5, 2003
Contact Laura Clay Trueman
(202) 626-8573, ltrueman@jeffersongr.com

Coalition Gives Support to New Health Savings Account Legislation

Washington D.C - The Coalition for Affordable Health Coverage (CAHC) has given their endorsement to House Ways and Means Chairman, Bill Thomas (R-CA), on his bipartisan legislation creating a new “Health Savings Account” (HSA). The bill, introduced today, encourages consumers to purchase health insurance and save earnings for health expenses.

The CAHC is a diverse group of businesses and associations representing healthcare providers, consumers, pharmaceutical and insurance companies who share a commitment to reducing the ranks of the uninsured through tax credits and other market-oriented approaches. “The Thomas HSA bill uses a ‘carrot’ to encourage Americans to purchase health insurance. Consumers will like it because the HSA is permanent and portable. Our members -- farmers and other self-employed individuals -- like the way it puts the individual in charge of their own health care dollar,” says CAHC member Wayne Nelson, President of The American Campaign for Consumer Choice and Lower Health Costs, a consumer organization.

In the Health Savings Account Availability Act, both the individual and his employer would be permitted to contribute to the health account. Contributions are capped at the cost of an individual’s deductible, but that amount can be no more than $2500 for an individual and $5050 for a family, using 2003 inflation indexed figures. In addition, unlike the current MSA law, HSAs would be permanent and portable, available to all individuals with a qualified high deductible plan, and have no limit on the total number of accounts.

CAHC members representing health care providers also see benefits with the Thomas bill. “Everyday, our physicians see patients who lack coverage. Giving people more incentives to plan and save for health care needs is positive for everyone, most of all the patient, because having money in the bank means premiums are paid and people will see their physician as needed,” says Shawn Martin, spokesperson for another CAHC member, the American Osteopathic Association.

Laura Clay Trueman, Executive Director of the Coalition for Affordable Health Coverage, will put the resources of the CAHC behind this bill. “We look forward to working with Chairman Thomas in helping secure passage of H.R.2351 and we commend his leadership and vision for improving savings opportunities for health care.”

CAHC Members
Healthcare Leadership Council
National Association of Manufacturers
National Association of Health Underwriters
U.S. Chamber of Commerce
National Association for the Self-Employed
American Medical Association
American College of Cardiology
American Osteopathic Association
American Legislative Exchange Council
Fortis Health
GlaxoSmithKline
Bayer Corporation
Wyeth-Ayerst Pharmaceuticals
Aetna
AdvaMed
The American Campaign for Consumer Choice and Lower Health
Costs
United Health