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Carter Praises DOL Action to Increase Access to Care for Small Business Employees

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Washington, June 19, 2018 | comments
Congressman Earl L. "Buddy" Carter (R-Ga.) today praised the U.S. Department of Labor's announcement to expand Association Health Plans (AHP). 

Due to increased costs and regulations under Obamacare, many small businesses can no longer afford to offer health insurance to their employees. Expanding AHPs will allow small employers to join together to access similar plans as large employers. This will enable small businesses to provide improved access, increased choices and lower costs for health care. 

The Congressional Budget Office (CBO) estimates that 400,000 previously uninsured people will gain coverage under AHPs.

"Obamacare has been a disaster for our entire health care system, but it has hit small businesses and their employees extremely hard," said Carter. "Many small businesses simply can't afford to offer health insurance to their employees thanks the failed health care law. This move today is a critical step to lower health care costs and will help to provide hardworking Americans with more choice and better control of their health care."

According to the Department of Labor, under the new rule, AHPs can serve employers in a city, county, state, or a multi-state metropolitan area, or a particular industry nationwide. Sole proprietors as well as their families will be permitted to join such plans. In addition to providing more choice, the new rule makes insurance more affordable for small businesses. Just like plans for large employers, these plans will be customizable to tailor benefit design to small businesses’ needs. These plans will also be able to reduce administrative costs and strengthen negotiating power with providers from larger risk pools and greater economies of scale. 
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