Langevin, Shays Unveil Universal Health Care Plan

Statement

Congressmen Jim Langevin (RI-2) and Christopher Shays (CT-4) announced today their legislative proposal to reform the nation's health care system. The American Health Benefits Program (AHBP) Act, based on the existing Federal Employees Health Benefits Program, would offer affordable health coverage to all Americans.

"My vision is that all Americans will one day have access to the same level of care as Members of Congress," said Langevin. "The time has long passed to open a dialogue on reforming the nation's health care system. Such constructive, bipartisan conversations will require a great deal of time, study, and work by many parties, but I am confident it can be done. This proposal introduces a viable concept and leaves room for further discussion."

"Cost and access to health care remains among the top concerns of residents of the Fourth District," said Shays. "In addition, the cost of providing health care to employees is a growing a matter of competitiveness to American employers because many of their worldwide competitors have health care systems that limit costs through a national payer system. Our health care plan will extend the benefits federal employees receive to the rest of our constituents, while maintaining the private health plans that many Americans enjoy today."

AHBP is a proposed system of managed competition, which recognizes that any successful health insurance program must be based on three principles:

-Choice - A system of managed competition that encourages private insurance companies to develop a range of health care packages based on quality, efficiency, service and price.
-Shared Responsibility - Individuals, health care providers, the business community, and the government all have key roles to play in providing meaningful reforms to America's ailing health care system.
-Affordability - By spending health care dollars more efficiently, we can make coverage affordable for all.

AHBP mirrors the Federal Employees Health Benefits Program, which is a successful template that insures over 8 million federal employees, retirees and their dependents. AHBP would leverage the negotiating power of the Federal government to extend a range of affordable health coverage options through private insurance carriers to every American. Americans not covered by Medicare, Medicaid, TRICARE/CHAMPUS, Indian Health Services, or Veterans programs will be able to choose a health care package through AHBP or an equivalent employer-sponsored plan.

The total cost of the bill will be evaluated by the Joint Committee on Taxation and the Congressional Budget Office. However, coverage costs will be primarily paid through a trust fund financed by a payroll tax. The Federal Government will pay 72 percent of the total premium. Individuals will be responsible for 28 percent of their premium, with low income individuals eligible for a sliding scale subsidy.

AHBP is designed to be a system of portable, continuous coverage that is not tied to an individual's employment. Once in the system, enrollees will be better able to receive long-term, preventative care from a doctor of their choice.

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