[Congressional Record Volume 153, Number 161 (Tuesday, October 23, 2007)]
[Extensions of Remarks]
[Pages E2209-E2210]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              RECENTLY INTRODUCED HEALTH CARE LEGISLATION

                                 ______
                                 

                          HON. JOHN M. McHUGH

                              of new york

                    in the house of representatives

                       Tuesday, October 23, 2007

  Mr. McHUGH. Madam Speaker, I rise today to discuss three bills I 
recently introduced that are designed to reduce the number of Americans 
who do not have access to health insurance. These three bills are 
designated H.R. 3515, the Health Insurance Tax Relief Act of 2007; H.R. 
3516, the Affordable Health Care for Americans Act of 2007; and H.R. 
3517, the Long-Term Care Tax Reduction Act of 2007.
  In 2006, approximately 47 million Americans, or 15.8 percent of the 
population, did not have health insurance coverage for the entire year. 
When people lack health insurance, they often find themselves lacking 
real access to health care, thus unnecessarily incur illnesses, 
emotional and physical pain, and costs. This is particularly the case 
with preventable or chronic conditions. In addition, when patients 
cannot pay for health services, the facilities that provide those 
services suffer financial losses, which have been estimated to be as 
high as $41 billion annually. As a result, some health care providers 
reduce or stop offering services while others may raise rates, thus 
reducing everyone's access to health care.
  The average annual premium for self-only coverage in 2007 is $4,479 
with the average premium for a family of four at $12,106. These 
premiums were 7.7 percent over the cost of the previous year's premiums 
and grew at a rate in excess of both wage gains and the growth in 
prices for goods and services. Nearly 60 percent of Americans receive 
health insurance through their employment, primarily because of the 
advantages available to employers and employees under our Nation's tax 
code.
  To reduce the number of uninsured Americans, we need to help open 
doors for those who do not receive health insurance through their 
workplace and do not qualify for public programs. H.R. 3515, the Health 
Insurance Tax Relief Act of 2007, and H.R. 3516, the Affordable Health 
Care for Americans Act are both designed to provide this assistance. 
Specifically, H.R. 3515 would allow eligible individuals a refundable 
credit against income tax for the purchase of private health insurance 
and H.R. 3516 would permit individuals to take an above-the-line tax 
deduction, whether or not they itemize, for all health insurance 
premiums paid during a tax year.

[[Page E2210]]

  With regard to long-term care, this challenge currently constitutes a 
significant component of health care spending in the United States. In 
fact, of the $1.56 trillion spent on personal health care services in 
2004, over $194 million or 12.5 percent was spent on long-term care 
services. Of that amount, nearly $37 billion was paid out-of-pocket by 
consumers.
  There is no question that long-term care insurance is increasingly 
becoming a necessity as Americans are living longer. However, the 
expense of this coverage is a major obstacle to its purchase. Thus, I 
have introduced H.R. 3517, the Long-Term Care Tax Reduction Act of 
2007, which would allow individuals to use their IRAs, as well as 
401(k) and 403(b) plans, to purchase qualified long-term insurance 
using pre-tax dollars without penalty. If enacted, this measure may 
save the government money in the long run by reducing the more than 
$133 billion Medicaid and Medicare spend annually, while allowing 
Americans to preserve more of their retirement savings and their sense 
of independence.
  Accordingly, I ask my colleagues to carefully consider these points 
as they review these three bills. In addition, I ask them to work with 
me to enact these measures during the 110th Congress.

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