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Legislators Introduce Bill to Expand Health Savings Accounts, Empower Consumers

by Brandon Arnold / /

The Honorable Jeff Flake
United States Senate
413 Russell Senate Office Building
Washington, DC 20510
The Honorable Dave Brat
United States House of Representatives
330 Cannon House Office Building
Washington, DC 20515

 

Dear Senator Flake and Congressman Brat:

On behalf of the members of National Taxpayers Union (NTU), I write in support of your legislation, S. 2980 and H.R. 5324, the “Health Savings Account Expansion Act of 2016.”

These companion bills would wisely expand and improve health savings accounts (HSAs), a policy that should be a key component of any market-oriented plan to replace the Affordable Care Act. Since they were established by law in 2003, HSAs have helped to empower consumers to make decisions about their health care expenditures. HSAs stand in stark contrast to the overall trend we have seen in the health care sector, whereby policymakers have increasingly given authority to government bureaucrats and insurance companies.

To counter this trend, S. 2980 and H.R. 5324 would expand and improve HSAs in a number of ways. These include increasing contribution limits, removing restrictions on the purchase of over-the-counter products, permitting the use of funds to pay for premiums, and terminating the requirement that forces all HSA owners to purchase a high-deductible health insurance plan. Taken together, these changes would reduce the cost of health care, give consumers more control over health care decisions, and provide many individuals with a significant reduction in their tax liability.

NTU is pleased to endorse your legislation and we urge all Members of Congress to cosponsor it. We hope it will be a key part of comprehensive legislation that would repeal the Affordable Care Act and replace it with a market-based approach to health care.

Sincerely,

Brandon Arnold
Executive Vice President