Rep. Allen: Maine Senators 'May Have the Last Opportunity to Prevent Dangerous Health Bill'

Says proposal "undermines the whole idea of insurance: that we share the risks of illness and injury".

Portland, Maine -- U.S. Representative Tom Allen, a member of the Health Subcommittee of the House Energy and Commerce Committee, today urged Maine's U.S. Senators to oppose S. 1955, The Health Insurance Marketplace Modernization Act. U.S. Senator Michael Enzi (R-WY) introduced the bill last fall. The bill passed out of the Senate Health, Education, Labor and Pensions Committee before the spring recess and the full Senate will likely vote on it in May.

"This bill undermines the whole idea of insurance: that we share the risks of illness and injury," Representative Allen said. "It overrides decades of carefully crafted state rules that oblige insurers to spread risks among all their beneficiaries. It allows the insurance companies to separate the young and healthy from the old and sick. It's a good bill only for people who are healthy today and know to an absolute certainty that they will never suffer accident or illness. In the real world, no one can know that. Today I'm urging Senators Snowe and Collins to vote against the Enzi insurance bill when it comes before the Senate. They may have the last opportunity to prevent this dangerous health legislation from becoming law."

S. 1955 would preempt state laws that guarantee coverage for critical items like cancer screenings and diabetes supplies and that limit the ability of insurers to charge higher premiums based on health status, age, gender, geographic area, and business size. Services at risk include cervical cancer screening, prostate cancer screening, drug abuse treatment, emergency services, home health care, mammography screening, and mental health care. In Maine and at least 20 other states, this bill would deny consumers access to health care providers, including dentists, chiropractors, nurse midwives, nurse practitioners, osteopaths, and psychologists.

"The Enzi bill isn't just bad for consumers; it's bad for small business," Representative Allen said. "S. 1955 overrides state laws that protect small businesses from discriminatory pricing practices. Insurers could charge higher premiums to small businesses if some of their workers are in poor health. Premium increases based on the sex or age of workers would be allowed. Currently Maine and 30 other states have consumer protections pertaining to pricing, all of which the Enzi bill would preempt."

Representative Allen recently unveiled The Small Business Health Plans Act, legislation he has written to establish a health benefits program for businesses with up to 50 employees. His bill creates new purchasing pools to provide a choice of health plans to small businesses, their workers, and the self-employed. Insurance companies would be eligible for federal reinsurance coverage (up to 75 percent of costs) for catastrophic cases. Premium assistance would be available for smaller businesses and lower wage workers. Finally, it includes incentives for insurance companies to reduce costs.

"Unlike the Enzi bill, my bill addresses both access to health care and its quality." Representative Allen said. "It offers small business owners and their employees coverage comparable to the insurance plans available to federal employees. It improves the integrity of the health insurance market and protects everyone.

Representatives from some of the more than 150 organizations in Maine and across the nation opposed to S. 1955 joined Representative Allen at his Portland press conference. Among the groups represented were AARP, American Cancer Society, American Diabetes Association, American Nurses Association-Maine, Maine Consumers for Affordable Health Care Coalition, Maine Peoples Alliance, Planned Parenthood of Northern New England and Alpha One.

"It's rare for me to speak on a bill before the U.S. Senate," Representative Allen said. "But abusive parliamentary maneuvering by the House Republican leadership will probably prevent the Energy & Commerce Committee, on which I sit, from considering the bill. If brought to the House floor as a conference report, we will have only one hour of debate on the bill with no opportunity for amendments. This bill needs to be stopped in the Senate."