GSA Daily Staff Report
Published June 24, 2009

U.S. Sen. Jim DeMint yesterday introduced the Health Care Freedom Plan, a plan the senator says will give every American the ability to access and own a health plan.

According to a Heritage Foundation estimate, DeMint’s bill will reduce the number of uninsured by 22.4 million people in five years. The legislation is paid for by terminating the Troubled Asset Relief Program and forcing companies to repay their bailout funds within five years.

“All Americans should have access to health insurance that they can afford, own and keep – and that the government can never take over or take away,” DeMint said. “No American should be forced into a government-run system that limits their choices and rations their care.”

DeMint’s proposal counters legislation under consideration called the Affordable Health Choices Act. That bill intends to regulate insurers and provide Americans under 65 the opportunity to accept public coverage.

“Democrats’ answer to every crisis is more and more government, but there is a better way that puts patients first, not bureaucrats,” DeMint said. “By giving all Americans choice and access to the same tax benefits we give to people through their employers, we can cover more uninsured Americans than the Democrat plan, in half the time, and at no additional cost to taxpayers.”

The Health Care Freedom Plan allows people to keep their employer-based plan without having to pay additional taxes on those benefits. People without employer-based coverage would receive vouchers of $2,000 for individuals and $5,000 for families to purchase health insurance.

Americans with health savings accounts can use their HSA funds to pay for insurance premiums, encouraging employers to contribute to their employees’ HSAs.

“This will create a true, competitive market for health care that will lower costs and increase quality,” DeMint said. “And it levels the playing field so all Americans – regardless of their employment benefits or employment status – have the same access to quality health care.”

According to DeMint, the plan creates a nationwide market for health insurance by allowing individuals to purchase health insurance plans in any state. It also provides block grants to states to develop innovative models that ensure affordable health insurance coverage for Americans with pre-existing health conditions.

DeMint says the bill also reduces malpractice lawsuits against physicians and hospitals, assures that every health care consumer has access to price information prior to treatment, and repeals financial bailouts to ensure that the plan does not add to the deficit.