On April 20, 2017, the U.S. Chamber of Commerce sent a letter to all members of the U.S. House of Representatives to encourage Congressional action on health reform legislation.
April 20, 2017
TO MEMBERS OF THE U.S. HOUSE OF REPRESENTATIVES:
The U.S. Chamber of Commerce encourages the House to tackle the current health care crisis, and revisit legislation that would provide relief to individuals, businesses, seniors and states. The cost of inaction or even extended delay is simply too high. For example,
- The reimposition of the health insurance tax is already increasing premiums for individuals, small business and seniors. Individuals, families, and employers will bear 60% of the burden of the tax, while 25% of the tax will affect seniors with Medicare Advantage and Medicare Part D plans – which translate into hundreds of dollars in additional premiums.
- The lack of certainty regarding cost-sharing reduction (CSR) payments is threatening to destabilize the marketplace at the very moment that insurers are trying to price plans for 2018. Nearly 60 percent of all individuals who purchase coverage via the marketplace – seven million people – receive assistance to reduce deductibles, co-payments, and/or out-of-pocket limits through CSR payments. This funding helps those who need it the most to access quality care and payments must be made to provide necessary short-term stability to the individual health insurance market.
- The Medical Device Tax will return at the end of the year, once again imposing a 2.3% tax to U.S. manufacturers on the sale of medical devices. The near-term threat of higher taxes is an impediment to the growth of this important part of America’s manufacturing economy.
- The “Cadillac Tax,” which remains on the books, is already affecting the decisions and offerings of employers. With this ill-conceived tax on the horizon, businesses are now evaluating ways to reduce their health care coverage offerings for their employees.
While the Chamber recognizes that further improvements to the legislation previously under consideration are necessary, as the examples above illustrate, there is no time to waste in taking the steps necessary to avoid further premium increases, job loss, and coverage erosion. It
is imperative that Congress: repeal the provisions in the Affordable Care Act that are threatening to undermine the employer-sponsored health care system and weaken our economy; and, make the CSR payments for 2017 and 2018 as promised.
The Chamber looks forward to working with Congress, the Administration, and other interested parties to advance these and other important health care reform priorities.
