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EBSA News Release: [02/11/2003]
Contact Name: Kathleen Harrington
Phone Number: (202) 693-4676

Secretary of Labor Elaine L. Chao Joins Bipartisan Congressional Delegation to Introduce Legislation on Association Health Plans

“Improving Access to Affordable Quality Health Care for Small Businesses”

WASHINGTON—Secretary of Labor Elaine L. Chao today joined a group of bipartisan Congressional members at a press conference to introduce legislation that would give millions of American small business owners and employees access to quality health insurance through Association Health Plans (AHPs).

“The Administration is concerned that fully 85 percent of the 41 million uninsured Americans are in working families,” said Chao. “AHPs are aimed squarely at the gap in coverage among small businesses, the bedrock of our economy and job creation. In addition, the AHP legislation will help address the problem of fraudulent health plans by offering plans that are bonafide, cost-effective alternatives.”

The Small Business Health Fairness Act would create AHPs that give small businesses greater bargaining power, economies of scale, administrative efficiencies, and the benefits of a uniform regulatory structure, thereby making health insurance more affordable. The legislation also provides strong protections through federal certification standards and oversight to protect workers against abusive health plans. These protections would be administered by the U. S. Department of Labor’s Employee Benefits Security Administration.

Congressional members participating in the press conference include Sen. Jim Talent (R-MO), Rep. John Boehner (R-OH), Rep. Cal Dooley (D-CA), Rep. Ernie Fletcher (R-KY), Rep. Sam Johnson (R-TX), Rep. Donald Manzullo (R-IL) and Rep. Nydia Velazquez (D-NY).

Chao applauded the Congressional members for moving quickly to introduce the legislation. She urged Congress to act swiftly to pass the legislation.

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