[Congressional Record Volume 154, Number 118 (Thursday, July 17, 2008)]
[Extensions of Remarks]
[Page E1499]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                HEALTH INSURANCE COVERAGE PROTECTION ACT

                                 ______
                                 

                           HON. ANNA G. ESHOO

                             of california

                    in the house of representatives

                        Thursday, July 17, 2008

  Ms. ESHOO. Madam Speaker, I rise today in support of the Health 
Insurance Coverage Protection Act. This bill addresses a serious 
problem for those Americans with chronic diseases or disabilities who 
have a lifetime cap on their insurance benefits and I'm proud to 
introduce this much-needed legislation.
  Most people are unaware that more than half of all private health 
insurance policies in the U.S. have a lifetime cap on benefits. Once a 
cap is reached, these individuals are released from their healthcare 
plans and forced to pay for their expenses out of pocket, try to 
qualify for Medicaid or other State programs, or seek free care from 
hospitals or other providers. Some people who reach their limits may 
forego treatment or use fewer services, which can result in higher 
costs of care in the future. According to the Kaiser Family 
Foundation's 2007 Annual Survey of Employer Health Benefits, over half 
of employer-sponsored health plans set aggregate lifetime caps on 
covered benefits, which are most typically set at $2 to $3 million.
  It's not a secret that medical expenditures have grown much faster 
than inflation, especially for those with chronic diseases and 
disabilities. Increasing the minimum lifetime cap will result in a net 
savings for Federal and State governments by allowing individuals with 
high medical costs to maintain private insurance rather than be forced 
onto Medicaid.
  The Health Insurance Coverage Protection Act will phase in an 
increase in the lifetime caps placed on private group health insurance 
plans, reaching $10 million in 4 years. The bill also calls for an 
Institute of Medicine study to determine the number of individuals that 
reach their lifetime caps.
  People shouldn't have to job-hop in order to switch insurance plans 
or quit their job altogether to access Medicaid. This legislation will 
protect individuals who do have insurance and are still struggling to 
pay for expensive medical treatments due to their long-term medical 
conditions.
  I look forward to working with my colleagues in the House on this 
bill and with Senator Dorgan, who has introduced the legislation in the 
Senate.

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