Press Releases

Van Hollen, Himes Laud Improvements to Health Insurance Reform Bill
Interstate competition provision included as a result of Himes’ work to improve legislation

Share This Page
Slashdot
Del.icio.us
Google
Digg
Reddit
Newsvine
Furl
Yahoo
Facebook
 

Washington, Nov 4, 2009 -

Today, Chris Van Hollen (MD-8), Assistant to the Speaker, and Congressman Jim Himes (CT-4) applauded improvements to the health care reform legislation pending in Congress. Key revisions to the health care reform bill include a provision to allow the creation of state health insurance compacts, which would permit states to enter into agreements to allow for the sale of insurance across state lines. The changes are the result of input Congressmen Himes and his colleagues gathered from their constituents and health experts throughout the course of the summer and fall. 

“The creation of state health insurance compacts is another element of our reform bill that has strong bipartisan support,” said Van Hollen.  “It will allow consumers to shop for insurance across state lines, promote competition and choice, and ensure strong consumer protections.”

“The revised healthcare bill goes a long way to making healthcare affordable to Americans and their businesses, and to making sure more Americans can see doctors. Forbidding insurance companies from excluding people with pre-existing conditions and closing the Medicare donut hole alone will make a huge difference to people,” said Himes.


BACKGROUND

INSURANCE REFORMS
Our bill makes a clear commitment to truly reforming the insurance industry and will provide consumers with more choices and more competition.
  • We will have overridden their antitrust exemption.
  • We will have new federal insurance standards in place (like only permitting 2 to 1 age rating).
  • We will have a health insurance exchange with insurance plans offering standardized benefit packages that will be fairly uniform across the nation.

STATE HEALTH INSURANCE COMPACTS
An additional key revision includes a provision to allow the creation of state health insurance compacts, which would permit states to enter into agreements to allow for the sale of insurance across state lines. 

Interstate compacts would permit states that voluntarily enter into compacts with another state (or multiple states) and permit the sale of insurance across those states.
  • Each state legislature will have had to have enacted legislation agreeing to such compact.
  • The compacting states will determine which state is primary for the insurer.

These compacts would facilitate the ability for insurance companies to sell insurance products in multiple states. 

The Secretary of Health and Human Services will develop model regulations for states to follow and this will help ensure compacts meet the same standards. 

The Secretary of Health and Human Services may also provide grants to states to help them enter into interstate compacts. 

Print version of this document

Document Search By

more