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Contractors Could Benefit From Association Health Plans05-02-03 | News
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WASINGTON ?EUR??,,????'??? U.S. Secretary of Labor Elaine Chao voiced her support for affordable healthcare through the creation of association health plans (AHPs) during a roundtable discussion in Minnesota on the rising cost of health care insurance premiums. Chao was invited by ABC?EUR??,,????'???s Minnesota Chapter and other small business groups. ?EUR??,,????'??The president has proposed comprehensive health reforms to provide families access to affordable, quality health insurance,?EUR??,,????'?? said Chao. ?EUR??,,????'??The majority of small business owners want to take care of the critical health needs of their employees. New solutions are needed to overcome the economic and market barriers small businesses face in obtaining health insurance. Association Health Plans will make health coverage an affordable reality for small employers and their workers and reduce the ranks of the uninsured.?EUR??,,????'?? Chao told those assembled that they are the backbone of the U.S. economy and the source of creative innovations. She challenged the group to work with the department to find innovative solutions to meet the healthcare needs of small businesses and their employees across the country. ABC Minnesota President Bob Heise said, ?EUR??,,????'??Secretary Chao is a strong advocate of association health plans. The insights shared by small business owners from across Minnesota can assist her as she encourages Congress to quickly approve this vital legislation. I am optimistic that this legislation will be adopted during this session of Congress.?EUR??,,????'?? The focus of the discussion was on the effectiveness of AHPs in lowering costs and increasing access to health care for small business employees. ?EUR??,,????'??AHPs make sense for our contractors here in Minnesota,?EUR??,,????'?? said Heise. ?EUR??,,????'??Nationally, ABC has more than 40 years of experience providing health benefits to its members, and this experience illustrates the benefits of health insurance offered through an association plan. Today, our nation faces a health insurance crisis. Without real, immediate reform, small businesses will be forced to drop coverage, reduce benefits or go out of business. AHPs can solve this problem.?EUR??,,????'?? The roundtable discussion involved approximately 50 small business owners from across Minnesota. While the types of businesses varied, the problems with skyrocketing health care premiums were consistent. ?EUR??,,????'??ABC contractors are facing 15 percent to 40 percent increases in premiums per year,?EUR??,,????'?? said Heise. ?EUR??,,????'??Allowing contractors to pool together nationally through AHPs would greatly expand their purchasing power and drive down insurance premiums. This idea has bipartisan support,?EUR??,,????'?? said Heise. ?EUR??,,????'??I want to thank Norm Coleman for sponsoring the AHP bill in the Senate. This will truly be a crowning achievement for Coleman and the others who support America?EUR??,,????'???s small businesses and their employees. With AHPs, small businesses across America can provide top quality insurance, and millions of employees across the nation will be able to receive the quality health care coverage they need and deserve.?EUR??,,????'?? AHP legislation currently is being debated in both the U.S. House of Representatives and the U.S. Senate. ABC established a national association health benefits plan in 1957 and through the years offered traditional health insurance plans, HMOs and PPOs to its members, many of whom were small business owners who could not otherwise afford health insurance coverage for their employees. In 2001, ABC was forced to discontinue its health insurance portion of its plan when ABC?EUR??,,????'???s insurance carrier terminated coverage because of incompatible and inconsistent state laws, making it too expensive to provide coverage. The AHP legislation being considered by Congress would address this issue and allow associations to begin offering national AHPs.
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