Witnesses Urge Caution as Congress Explores Genetic Non-Discrimination Issue

Overly Broad Legislation Could Harm Employee Health Benefits, Panel Warns

          WASHINGTON, D.C. -- The House Education & the Workforce Subcommittee on Employer-Employee Relations, chaired by Rep. Sam Johnson (R-TX), today held a hearing, the second in a series, on “Genetic Non-Discrimination: Implications for Employer Provided Health Care Plans.” 

          Specifically, the panel investigated to what extent current federal and state law already protects workers from genetic discrimination, and the potential unintended consequences that would result from overly broad definitions of genetic information and testing, particularly with regard to legitimate uses of genetic information.

          “Several existing federal laws protect the privacy and use of genetic information, and guard against discrimination based on genetic factors,” Chairman Johnson said.  “In addition, more than half of the states have enacted laws that further restrict the privacy and use of genetic information by employers and the health insurance industry.”

            Janet Trautwein, director of federal policy analysis and state government affairs for the National Association of Underwriters, told the committee, “Great care should be taken to craft legislation that is very specifically related to a prohibition of the use of legitimate genetic tests.  Overly broad definitions will impede the normal underwriting process and increase the cost of the coverage.”

            “Health insurance underwriting is a complicated process.  It is a combination of art and science, and is highly dependent on not only the risk of the applicant but on other market conditions that may be beyond the applicant’s control,” Trautwein said.  “The most important component of underwriting is complete information to allow for a thorough evaluation of risk.”

            Mary Williams, an attorney with the Atlanta, Georgia office of the firm of Alston & Bird, testified on behalf of employers who sponsor self-funded employee benefit plans and third-party administrators who provide services to those plans.

Williams emphasized that “employers strongly oppose genetic discrimination, particularly with regard to benefits provided by group health plans.”

            “If Congress moves forward with further regulation,” Williams continued, “care must be given to avoid unintended consequences of overly broad language.”

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