Keeping The Promise Of...
Healthcare Reform

When I was first elected to Congress, I pledged to support a Patients' Bill of Rights that would protect not only patients and physicians, but employers and insurers as well. The initial version of this legislation, however, would have been better titled a Lawyer's Right to Bill, as it allowed attorneys to file suit against employers for poor decisions made by insurance companies and health care providers.

Small business owners across East Central Indiana told me that the threat of such lawsuits would, in the long run, make it too costly for them to offer healthcare benefits to their employees. Some estimated that the increased liability for small businesses might cost 30,000 Hoosier their health insurance. Without private healthcare options, America would inevitably move down the path toward nationalized healthcare.

With that in mind, I cosponsored H.R. 2315, Rep. Ernie Fletcher's (R-KY) Patient Protection Act. With President Bush's backing, my colleagues and I were able to bring the key provisions of our legislation before the House of Representatives as H.R. 2563, the Bipartisan Patient Protection Act. I joined other supporters of patients' rights in a debate on the House Floor that ultimately resulted in the passage of H.R. 2563 on August 2.

With the addition of several amendments the final version of this bill accomplishes three crucial goals important to Hoosier employers:

1) It ensures that the right people are held responsible when a patient is denied care or receives poor care.

2) It expands access to private health care accounts to reduce the ranks of the uninsured.

3) It makes it easier for small businesses to provide health care for their employees.

First, this bill provides patients with redress against any health plan that denies a claim for benefits and subsequently causes injury or death. The Patient Protection Act holds those primarily responsible for denying care or providing poor care accountable for medical mistakes. By referring disputes first to medical review boards, the bill shields employers from liability for mistakes over which they had no control. It also caps legal damages at $1.5 million so that frivolous lawsuits do not bankrupt small business owners.

Second, the bill expands access to Medical Savings Accounts (MSAs) so that Americans can gain control of their health care dollars by establishing $2,000 a year tax-free accounts to meet medical expenses. This would make health insurance more like homeowners insurance and cheaper for everyone.

Finally, the Patient Protection Act contains a provision that would allow small businesses to participate in Association Health Plans (AHPs). AHPs are a simple issue of fairness. Small business owners can join an AHP to purchase insurance at group rates so they can realize the advantages provided by economies of scale and lower administrative costs currently only enjoyed by larger companies. By joining together in trade and professional associations, many more small employers will be able to afford the high quality health coverage they now lack.

Further, AHPs would attract all association members, both sick and healthy. Currently, small group markets discriminate against the sick because small businesses with sicker employees face higher premium increases since they are part of a small pool and their claims experience makes them "high risk." When these businesses join an AHP they become part of a much larger pool thus spreading their risk and lowering their costs.

These three goals provided the common ground from which my colleagues and I worked to enact a comprehensive Bipartisan Patient Protection Act. By passing this legislation the House has taken a great step forward to protect patients and small businesses while expanding access to healthcare for all Americans.