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News
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| FOR IMMEDIATE RELEASE June 20, 2002 |
CONTACTS:
Dave Schnittger or Kevin Smith Telephone: (202) 225-4527 |
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Boehner, Johnson Respond to Supreme Court Health Care Decision WASHINGTON, D.C. - In a decision that may lead to further increases in health care costs and reduced access to health care, the U.S. Supreme Court today ruled that the 1974 Employee Retirement Income Security Act (ERISA) does not preempt state laws that require an independent external review of disputed decisions about medical care. ERISA is the federal law that makes it possible for 128 million Americans to receive employer-provided health benefits by encouraging uniform benefit standards from state to state. House Education & the Workforce Committee Chairman John Boehner (R-OH) and Employer-Employee Relations Subcommittee Chairman Sam Johnson (R-TX) issued the following statements: “A strong independent external review process is the best patient protection of all,” said Boehner. “Every health plan participant deserves the same rights to a strong external review process, no matter where he or she lives or what plan he or she participates in.” “I am concerned today’s decision will create a patchwork of 50 different laws in 50 different states that employers must adhere to when they voluntarily offer health benefits for their employees,” said Boehner. “By forcing health plans to comply with different and conflicting state external review requirements, the ruling may increase already skyrocketing health care premiums and leave more Americans without health insurance.” “The cost of health care rose last year by 13 percent,” said Boehner. “We need to ensure that employers who voluntarily provide health benefits to their employees are not forced to drop their coverage because of exploding costs.” “ERISA has traditionally ensured uniformity for employers who voluntarily offer health insurance to their employees,” said Johnson. “Prior to today’s decision, no matter how many states a company spanned, it knew it could offer the same benefits to every single employee without being forced to deal with conflicting state external review requirements.” “Health care costs are a serious issue. Private employers provide access to health care for 128 million Americans. The health of this employer-based system could be in jeopardy,” said Johnson. “Today’s ruling results a complex framework of state laws, and I fear its implications on the rising number of uninsured as well as the costs of health care.” |