AHIP offers healthcare reform proposal

America's Health Insurance Plans has offered a healthcare reform proposal to achieve universal coverage, reduce the growth of healthcare costs and improve the quality of medical care.

"Our board is making a strong statement that now is the time for healthcare reform," said Karen Ignagni, president and CEO of AHIP. "Reducing healthcare costs, improving quality of care and bringing everyone into the system must be done in tandem to maximize the opportunity for success on all fronts."

The proposal reflects the concerns and incorporates ideas that were raised during a nationwide listening tour as part of AHIP's Campaign for an American Solution. It outlines strategies to achieve four main objectives: controlling costs, helping consumers and purchasers, achieving universal coverage and adding value.

AHIP is urging Congress to set a target of reducing the future growth in healthcare costs by 30 percent over the next five years. Based on the current projected growth rate of 6.6 percent, this could produce a cumulative savings of more than $500 billion over five years.

"AHIP's board and membership are committed to working with policymakers and other stakeholders to ensure that all Americans have affordable, high-quality healthcare coverage," said James Roosevelt Jr., president and CEO of Tufts Health Plan and co-chairman of AHIP's Policy Committee.

AHIP is proposing that a public-private advisory group be created to provide specific policy recommendations to Congress on reducing healthcare costs.

The organization also proposed that a new portable health plan be available to individuals and small businesses in all states. This "essential benefits plan" would provide coverage for prevention and wellness as well as acute and chronic care. To maintain affordability, the plan would not be subject to varying and conflicting state benefit mandates.

The essential benefit plan would also be made available to workers who are going through a job transition or are eligible for COBRA to ensure they are able to maintain healthcare coverage.

The proposal also calls for a guaranteed coverage for people with pre-existing medical conditions in conjunction with an enforceable individual coverage mandate. To help working families afford coverage, advanceable and refundable tax credits should be available, phasing out as income approaches 400 percent of the federal poverty line.