[Congressional Record Volume 142, Number 120 (Thursday, September 5, 1996)]
[Extensions of Remarks]
[Pages E1517-E1518]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




     A HEALTH INSURANCE POLICY FOR $25,600: THE NEED FOR H.R. 3342

                                 ______
                                 

                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                      Wednesday, September 4, 1996

  Mr. STARK. Mr. Speaker, we need national health insurance reform.
  I recently received a letter from a man in the Midwest which reported 
the following example of the need for reform. Three years ago, his 
wife's COBRA health insurance continuation

[[Page E1518]]

policy expired. As required by law, the insurance company had to offer 
conversion to an individual policy--but the law does not specify at 
what price that policy has to be offered. The company made an offer 
almost every family in America would have to refuse--$25,600 per year.
  Why so much? The wife had been sick but not seriously so.
  She has been without health insurance for over 3 years now. It will 
be 2 more years before she will be eligible for Medicare. The husband 
is already on Medicare.
  Kennedy-Kassebaum will not help in this type of case. There is no 
guaranteed issue for individual policies. For those who have been out 
of the work force for a while, it offers no protection.
  The family's plea is not to raise the age of eligibility for 
Medicare: ``Now her only hope is to have reasonable access to Medicare 
by her 65th birthday in July 1998. If you take that away, a major 
medical occurrence would ruin this family.''
  Mr. Speaker, Kennedy-Kassebaum was a small first step. Let's step 
forward and fill in the remaining gaps in health insurance. I've 
introduced legislation, H.R. 3342, which would make COBRA health 
continuation rights permanent after age 55. Anyone, for whatever 
reason, would be able to buy COBRA group rate insurance after age 55 
and until they reach age 65 and Medicare eligibility. This type of 
legislation would provide some meaningful help to families who cannot 
afford the cost of individual policies.

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