WASHINGTON, D.C. | October 12, 2011 -
On Thursday, October 13 at 10:00 a.m., the Subcommittee on Health, Employment, Labor, and Pensions, chaired by Rep. Phil Roe, M.D. (R-TN), will hold a hearing entitled “Regulations, Costs, and Uncertainty in Employer Provided Health Care.” The hearing will take place in room 2175 of the Rayburn House Office Building.
In order to avoid disruption to the nation’s health care system, the 2010 health care law included a “grandfathered” provision. This provision was intended to exempt all benefit plans in effect on the date of the law’s enactment from new rules and mandates. However, in 2010, the Department of Health and Human Services (HHS) proposed a rule that restricted the "grandfather" exemption. As a result, the administration estimates up to 80 percent of small-employer plans and between 34 to 64 percent of large-employer plans will lose their grandfathered status, forcing many Americans to face significant changes to their preferred health care plan.
In addition to these challenges, employers and workers must also confront higher costs. According to a recent study by the Kaiser Family Foundation, premiums for employer-provided health care increased by 9 percent last year and are expected to increase by 8.5 percent in 2012.
The hearing will provide members an opportunity to examine changes and regulations impacting employer-provided insurance, including rising costs and the administration’s grandfathered regulation, and discuss responsible solutions to address these issues.
To learn more about this hearing, visit www.edworkforce.house.gov/hearings.
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Dennis M. Donahue
Wells Fargo Insurance Services USA, Inc.
Testifying on behalf of the Council of Insurance Agents and Brokers
San Diego, CA