The Honorable MarshaBlackburnUnited States Houseof Representatives217 Cannon HouseOffice BuildingWashington, DC 20515
Dear Representative Blackburn:
On behalf of the 362,000 members ofthe National Taxpayers Union (NTU), I write in support of H.R. 371, the “HealthCare Choice Act of 2011.” By repealing the top-down mandates contained in Title1 of the Patient Protection and Affordable Care Act (PPACA) and insteadpromoting the growth of functional markets by allowing Americans to purchasehealth insurance from out-of-state providers, this legislation would greatlyexpand health care options and reduce costs for consumers.
Title 1 ofPPACA contained a plethora of damaging provisions such as the individualmandate, employer mandate, and insurance exchanges. This complicatedbureaucratic and regulatory framework created further distortions in the marketfor health care insurance. Your bill would eliminate Title 1 in order to createa fertile ground in which a more responsive private market can truly grow andthrive.
The HealthCare Choice Act would then plant the seed of successful reform by opening uprestricted state markets and allowing consumers to shop for health insuranceacross state lines. Currently, state-imposed requirements force insurers tooffer policies with mandatory benefit levels, offered procedures, or providers,which prevents individuals from purchasing a plan that meets their specifichealth needs. They also lead to wide variations in the cost of health careplans. For instance, Georgia’s 45 government-dictated insurance mandates raisethe average cost of an individual policy to $163 per month, while the averagein neighboring Alabama is $126 per month. Yet, current law constructs anartificial barrier that prevents citizens from seeking these lower-costpolicies.
H.R. 371would remove this barrier and harness the power of the marketplace in threeimportant ways. By giving access to a broader range of plans, consumers willhave more choices at lower costs. By spurring competition among policymakers,states will be incentivized to create the most consumer-friendly regulatorystructure possible. Finally, by creating a robust, nationwide health insurancemarket, the Health Care Choice Act will promote efficiency of scale andinnovative business models.
NTUstrongly supports the use of patient-driven free markets rather than governmentmeddling to reduce the cost of health insurance for Americans. Therefore, asimplementation of PPACA’s Title I looms closer, we encourage all House Membersto work toward passage of this important piece of legislation.
Sincerely,
Brandon GreifeFederal Government Affairs Manager