|
Bailey introduces major
health care legislation in House
Taking aim at the
underlying causes of the state’s health care crisis,
Rep. Barbara Bailey, R-Oak Harbor, today introduced major omnibus legislation that
includes several meaningful reforms toward significantly lowering the
cost of health insurance and improving consumer access to medical
services.
"The major problem
separating consumers from their ability to access health care in
Washington is the cost. The costs of health care and insurance coverage
have grown by millions of dollars in recent years, reducing availability
for consumers. Many of those expenses in Washington have been driven
upward by regulations, policies and mandates adopted by our state," said
Bailey, ranking Republican of the House Health Care Committee. "Today we
are providing an opportunity through this bill to set our state on a new
course that will lower costs, improve access, increase competition in
the private marketplace through more options, and give consumers more
control over their health care services."
House Bill 1686 would place a moratorium on new mandated health benefits
and require an independent cost-benefit analysis of the existing 47
health coverage mandates in Washington.
"Mandates increase the
cost of basic health coverage by as much as 50 percent. Every additional
mandate we place on health insurers adds more to the expense of buying
coverage. Even as recent as last Friday, the House voted to add one more
mandate with the mental health parity bill," said Bailey. "We must
examine every mandate and determine exactly how it is impacting access
to health care coverage."
Bailey noted that the
mandates have created an "all-or-nothing" insurance system, which has
forced the price of health insurance to be too expensive for employers
and small businesses seeking to provide coverage for their employees. HB
1686 would work to reduce mandates and restore insurance options through
competition in the private marketplace.
"Washington’s mandates
require employers who wish to purchase health care coverage for their
employees to buy the Cadillac plan. There are no other options. You
either get the full plan, or if you cannot afford it, you and your
employees go without," said Bailey.
"Most small businesses would like to provide insurance to their
employees. However, the number of employers who offer coverage has
dropped 18 percent since 1993. Why? It’s because of the cost. Many
simply cannot afford the Cadillac plan," added Bailey. "And of those
still providing insurance, most saw premium increases of more than 20
percent last year. By reducing the mandates, we reduce those costs so
that employers can purchase health insurance for their employees
specifically geared to their needs."
One of the other major
cost drivers of health care, said Bailey, is the tort system.
"Not only does the expense
of medical malpractice premiums increase the cost of health care, it
also limits access by forcing doctors who cannot afford insurance to
quit practicing or leave the state," noted Bailey.
HB 1686 would enact
medical malpractice reforms to stabilize the health care liability
insurance market, including capping non-economic damages to $350,000,
limiting lawyer’s fees in malpractice lawsuits, and requiring a
defendant to pay a proportionate share of damages based on the
proportionate share of fault. Components in the measure largely
replicate Initiative 330, proposed by a coalition of the Washington
State Medical Association.
"It’s important for people
to understand that this legislation would not prevent victims from
receiving compensation when a procedure has gone wrong. Instead, this
bill would prevent frivolous lawsuits and awards that are beyond
unreasonable, and would finally let us take control of these costs,"
added Bailey.
Finally, the fourth
component of the measure would create Health Savings Accounts to be
offered to public employees as a choice for their health benefits.
"Health Savings Accounts
would allow people to save money tax-free to be used for their own
health care needs. HSAs aim at empowering people to make decisions for
themselves, owning their own health care plan, and at the same time
bringing control into the cost of health care," Bailey said. "It would
also help to educate people to the true costs of their own health care,
allowing them to make choices."
Bailey added that while
some have advocated expansion of government programs to provide health
care, she believes that’s the wrong direction.
"The last time government
tried to ride to the rescue on the issue of health care costs by
implementing a universal health care system in 1993, it was an absolute
disaster. Government has never shown that it can do better than the
private sector. Government-run health care will only take us in the
direction of higher costs, fewer choices, a sacrifice in quality, and
long waiting lines," noted Bailey. "Expanding government care doesn’t
get at the root of the problem. The only way to truly solve our state’s
health care crisis is to get at the underlying causes of the problem.
This bill provides that solution."
The measure has been
referred to the House Health Care Committee for consideration.
AT A GLANCE: HOUSE BILL
1686
"Improving health care
by reducing the cost of insurance and increasing choice"
-
Provides a moratorium
on new mandated health benefits and requires an independent
cost-benefit analysis of all current health benefit mandates;
-
Reduces mandates of
the "all-or-nothing" insurance system, providing options and reforms
so that small business employers have greater flexibility to offer
affordable basic health coverage for working families;
-
Offers Health Savings
Accounts to public employees which would allow people to save money
tax-free for the costs of their health care and own their own health
care plan.
-
Protects consumers,
job providers and patients by reforming the tort system, which is
driving up the cost of not only consumer health insurance but also
medical malpractice premiums, forcing doctors to leave the state or
limit the services they offer.
# # #
For more information, contact:
John
Handy, Assistant Director: (360) 786-5758
|