By BARBARA BARRETT - McClatchy Newspapers = Fri, Jul. 27, 2007
WASHINGTON -- A group of conservative Republican senators put forth a plan Thursday that seeks to ensure that every American has health insurance.
The bill encourages families to find their own health coverage and offers tax credits of up to $5,400 per family. Advocates for the uninsured say the proposal could jeopardize low-income families and chronically ill patients, as well as the employment-based healthcare system, which covers 65 percent of Americans.
"It's time for a major debate on health care insurance," Sen. Mel Martinez, R-Fla., said in a statement. "Not enough people have access to affordable health care, and the Congress has not done enough about this crisis." Martinez was joined in introducing the bill by fellow Republican Sens. Richard Burr of North Carolina, Tom Coburn of Oklahoma and Bob Corker of Tennessee.
The bill could bring health coverage to millions of Americans now without it. But Burr said in an interview that it also would begin taxing the value of healthcare plans that many employers now offer workers, a provision sure to face opposition. Such benefits are now tax-free for the employer and the worker.
"Our aim is to remove inequities in our tax laws and make tax relief for health insurance available to everyone," Martinez said.
The legislation would offer special tax credits to help cover the cost of health insurance and other health bills: $2,160 per person, up to a maximum of $5,400 per family.
The legislation, called the Every American Insured Health Act, comes amid debate this week in the House of Representatives and the Senate over the renewal of a joint federal-state children's health insurance program.
Republican leaders, including President Bush, want to keep the program roughly where it is. Democrats are trying to expand the program to cover more children.
The GOP legislation also comes as the idea of universal healthcare continues to consume political debate. Polls show healthcare as one of voters' top concerns. Democratic presidential candidates are being pushed to unveil their healthcare plans. And several states are considering legislation to cover uninsured residents.
But Kathleen Stoll, director of health policy for Families USA, an advocacy group in Washington, said the plan isn't terribly new. Republicans have long been working to dismantle the employment-based health system that most Americans use, she said.
"When we eliminate that tax break for [the system], we should do that with extreme caution," Stoll said.
Advocates for the uninsured fear that employers could simply drop health benefits altogether. And for many families,
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