Senator Rick Santorum (R-PA) and Representatives Sam Johnson (R-TX), Eric Cantor (R-VA), Paul Ryan (R-WI) and J.D. Hayworth (R-AZ) introduced bills S. 978 and H.R. 1872 to implement much of President Bush’s health care agenda in the Senate and House last week. The NASE supports this legislation as an important step toward affordable health care coverage.
“This legislation presents a multi-faceted effort to address the health care crisis in this country,” said NASE president Robert Hughes. “With the ever-rising costs of health care, micro-business owners and their employees need affordable alternatives to the current health insurance system.”
The legislation includes three key provisions supporting HSAs and low-income workers:
Allows a deduction of health Thursday, November 04, 2004 9:38:15 PMse a High Deductible Health Plan (HDHP) with Health Savings Accounts (HSAs).
Encourages employers to contribute to their employees HSAs by offering employers a refundable tax rebate of up to $500 for a contribution to each family account and up to $200 for each individual account contribution.
Provides a tax credit for the purchase of health insurance for low-income individuals of up to $1,000 for an individual and $3,000 for a family. Up to one-third of the credit can be put into a health savings account.
“This legislation is a way to get the consumer back in the game and gives incentive to shop around,” said Ryan. “Forty percent of those purchasing HSAs did not have insurance before. This legislation will help expand insurance to the uninsured.”
The NASE has been a strong supporter of Health Savings Accounts and tax credits to assist micro-business owners and the self-employed. For more information regarding Health Savings Accounts, please go to http://www.hsainsider.com/.
For more information on the NASE's position on health care, visit http://advocacy.nase.org/.