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Rising Cost of Health Insurance is Top Priority for Small Business
04/13/2006

Small-Business Health Plans offer relief

WASHINGTON, D.C.—In honor of National Small-Business Week, Dan Danner, executive vice president of the National Federation of Independent Business, released the following statement:

“With the President and the nation observing National Small-Business Week, it’s the appropriate time to recognize and celebrate America’s No. 1 job creators.  It’s also fitting that we take the time to recognize the No. 1 concern of America’s small-business owners, which is the cost and availability of health care for themselves, their employees and their families.  As NFIB gears up its fight to pass Small-Business Health Plans through Congress, National Small-Business Week provides the perfect kick-off.

“Health care has been the top-ranked issue in NFIB surveys since 1986, and the concern has only continued to grow as the cost of health insurance increases.  Twenty-seven million working people are uninsured, and 63 percent of them are either self-employed or work for a small business that has less than 100 employees.  NFIB, the nation’s largest small-business advocacy group, has listened to its small-business members and deemed health care affordability the organization’s top legislative priority. 

“Acting on that priority, NFIB strongly supports the creation of Small-Business Health Plans as a way to provide real relief to small-business owners struggling with the costs of health insurance.  The U.S. House passed Small-Business Health Plan legislation several times over the years, and now the U.S. Senate is close to passage as well.  Sen. Mike Enzi of Wyoming, chairman of the Health, Education, Labor and Pensions Committee, and Sen. Ben Nelson of Nebraska listened to small-business owners and sponsored S. 1955, “The Health Insurance Marketplace Modernization and Affordability Act of 2006,” which passed through committee and is expected to reach the Senate floor in May.

“The Enzi-Nelson bill will allow for the creation of Small-Business Health Plans, which will bring more choices for owners facing double-digit rate increases and struggling to afford health insurance for their employees.  These plans will level the health-insurance playing field and give participating small businesses the same buying power as Fortune 500 companies and unions, by allowing them to band together across state lines through trade and professional associations to purchase affordable health benefits.  By joining together, small employers will enjoy savings from greater bargaining power, economies of scale and administrative efficiencies.

“Small-business owners, employees or dependents of small businesses with less than 100 employees account for the largest segment of the uninsured population.  Small-Business Health Plans have a real prospect of success this Congress, and it’s time for the Senate to act."

The National Federation of Independent Business is the nation’s largest small-business advocacy group. A nonprofit, nonpartisan organization founded in 1943, NFIB represents the consensus views of its 600,000 members in Washington and all 50 state capitals. More information is available online at www.NFIB.com/newsroom.
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