fah hospital policy blog

Perspectives on health policy affecting America’s hospitals and the patients we serve.

FAH Urges Congress to Lower Insurance Premiums

May 29, 2019 | FAH Policy Blog Team

Category: Insurance

This week, FAH, the American Hospital Association (AHA) and other major health care groups sent a letter to House and Senate leadership urging prompt Congressional action to "establish a premium reduction/reinsurance program to help cover the costs of people with significant health care needs and improve the affordability of health care coverage."

The letter, sent by eight groups in total, points out commonsense solutions that would "significantly lower premiums, which would greatly improve access to coverage and care."

High individual market premiums are often unaffordable for many middle-class families. Now that health insurers are finalizing their premium rates for 2020, the letter asks Congress to act now to lower premiums to increase the affordability of care for millions of Americans across the country.

"Independent analyses, including ones by Oliver Wyman and Avalere Health, show that a premium reduction/reinsurance program could reduce premiums by up to 20% while preserving the comprehensiveness of coverage, primarily helping those who are not subsidy eligible."

The letter was sent to Senate Majority Leader Mitch McConnell (R-KY), Minority Leader Chuck Schumer (D-NY), House Speaker Nancy Pelosi (D-CA) and Minority Leader Kevin McCarthy (R-CA).

Click here to read the full letter.