[Congressional Record Volume 141, Number 1 (Wednesday, January 4, 1995)]
[Extensions of Remarks]
[Page E19]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                  HEALTH INSURANCE EQUITY ACT OF 1995

                                 ______


                      HON. BLANCHE LAMBERT LINCOLN

                               of arizona

                    in the house of representatives

                       Wednesday, January 4, 1995
  Mrs. LINCOLN. Mr. Speaker, I rise today to re-introduce a bill that 
will make health insurance premiums more affordable for farmers and 
self-employed individuals. The Health Insurance Equity Act of 1995 
simply changes the tax code to permanently provide the self-employed 
with a 100-percent tax deduction for costs incurred while purchasing 
health insurance. This legislation will also be retroactive to the 
previous tax year beginning January 1, 1994, when the 25-percent 
deduction expired. Let me be clear, this legislation gives the self-
employed the 100-percent deduction now, and extends it to last year.
  It is time to face the facts about purchasing health coverage today. 
Many of the 37 million uninsured are small business owners. Health care 
costs averaged $3,160 per person in 1992, with current increases 
projected to run in double digits through the end of the century. 
Prescription drug costs in many cases have risen more than 60 percent 
since 1985. My constituents are asking for relief.
  This bill achieves our goals of health care cost reduction and better 
access for the uninsured while reducing costs for those currently 
insured through lowering fees passed onto consumers from hospitals for 
care of the uninsured. Adoption of this proposal may even encourage 
employers to purchase better health care plans for their employees.
  Our actions must show our constituents that we understand the 
problems they are facing. This legislation achieves 100-percent 
deductibility immediately without any phasein. Tax relief and tax 
fairness are what this legislation is all about, and tax relief and tax 
fairness are what the Health Insurance Equity Act of 1995 is promoting. 
While this legislation is not the final solution to our health care 
ills, it is a necessary first step in providing assistance to the small 
businessmen and farmers who are the economic backbone of my district, 
my State, and our economy.


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