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Health Insurance / Medical Insurance News

New Jersey Lawmaker Touts Legislation That Would Deregulate Health Insurance In State

Main Category: Health Insurance / Medical Insurance
Article Date: 03 Jun 2008 - 9:00 PDT

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New Jersey Assembly member Jay Webber (R) said legislation he introduced that would deregulate health insurance in the state would be effective in reducing the number of uninsured U.S. residents, the Bergen Record reports. Last week, Webber introduced a bill to allow state residents to purchase health insurance across state lines. The proposal mirrors a plan introduced by Rep. John Shadegg (R-Ariz.), which presumptive Republican nominee Sen. John McCain (Ariz.) has endorsed, the Record reports.

According to Webber, the average cost for a family health insurance plan in New Jersey double the national average, as a result of overregulation and costly mandates for coverage of medical procedures such as in vitro fertilization. Webber said, "Thousands of people on the margins could get health care once you drop the cost of coverage." He said, "We need to try and reduce the number of uninsured through reforms like this before we propose a government mandate and a very expensive plan,' adding that states with less regulations often have inexpensive insurance premium rates.

Opponents of the bill say it would eliminate consumer protections in the state that require insurance companies to market similarly priced health plans to residents without taking their existing medical condition into consideration. Ron Pollack, executive director of the patient advocacy group Families USA, said, "If you have a family history of diabetes, or some high blood pressure or your kid has asthma, it means you're either going to be excluded from getting coverage or priced out of a policy," adding, "Allowing consumers to purchase across state lines is going to be more harmful than helpful." He said, "This will promote a race to the bottom" (Layton, Bergen Record, 5/30).

Reprinted with kind permission from http://www.kaisernetwork.org. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at http://www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation.

© 2008 Advisory Board Company and Kaiser Family Foundation. All rights reserved.




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