It’s that time of year again: open enrollment season. And for most of us, it comes with a bit of dread.
More than half of Americans must pick a health plan for the coming year, from a confusing and limited list of one-size-fits-all options untailored to the unique needs of an individual.
And that plan will cost a lot more money, as health insurance premiums are going up an average of 7 percent this year. American workers now pay a staggering $24,000 per year for health insurance premiums. I would know – that’s how much my parents pay.
But imagine if open enrollment was a time to look forward to, where your choices were great and affordable, and the options were easy to understand and personalized to your unique needs.
It’s possible. We just need a few sensible, incremental reforms that make health care more affordable, hassle-free, and transparent.
Currently, government policies restrict the number of options people and families must choose from. And they drive up costs – a lot. Thankfully, Republicans have several good solutions that would fix what’s broken and give people a Personal Option in health care.
These reforms would make health care more like shopping on Amazon or at the grocery store. We’d have more and better options and could see the price upfront. Doctors and insurers and drug companies would compete for our business. We’d be empowered consumers with real control over our care.
The best of these ideas advance three important goals:
Empower patients. When people control their health care dollars, they control the decisions – and get better value. Existing government help tends to go directly into the coffers of health insurance companies. Let’s give that money to patients directly. Putting patients in charge of the dollars empowers them to comparison-shop and ask important questions like “How much with this procedure cost?” and “Are there better options?”
The Health Care Fairness for All Act would allow every American under age 65 the option to utilize a personal health care credit – up to $4,000 a year for each adult and $2,000 a year per child. Families could use their own tax-advantaged dollars to buy insurance tailored to their needs. What they don’t spend, they can use for out-of-pocket medical expenses, or save for future needs. Health care would be truly portable, following you in and out of the workforce. This would be a huge help for working families like my parents.
Expand HSAs. Health savings accounts are special savings accounts used for out-of-pocket medical expenses like copays, prescriptions, and doctor’s appointments. I use my own HSA to shop for household medical supplies through the super-convenient online Amazon HSA store and more recently, to purchase my daily AG1 greens supplement. HSA contributions and withdrawals are tax free, and you or your employer or both can put tax-exempt money into the account, up to a cap. This money is yours — forever. You can take it with you when you leave your job or retire. You can invest it to build a reserve for emergencies. Unfortunately, nearly 90% of Americans lack access to this powerful financial tool because of outdated federal rules. Several GOP proposals would update the law to dramatically expand HSA access, including, for example, the Personalized Care Act and the ACCESS Act.
Remove middlemen. It’s time to give more Americans access to direct patient care – insurance-free health care that lets you access your doctor 24/7 at a flat, low monthly price. Studies show DPC doctors spend four times more time with their patients than do traditional fee-for-service doctors, because they don’t have to deal with insurance-company rules and paperwork. It’s better care. DPC patients enter emergency rooms 31 percent less often than patients with traditional doctors and spend 36 percent less on prescription drugs. Unfortunately, the Internal Revenue Service makes it illegal to deduct DPC subscriptions or contribute to an HSA while using DPC. The bipartisan Primary Care Enhancement Act would fix this problem.
These and other Republican ideas are in stark contrast to President Biden’s proposals to double down on the status quo. Biden wants to put millions of more Americans onto substandard government plans, discourage the development of new pharmaceutical cures, and turn more of our tax dollars into inflationary subsidies, that drive prices higher, harming those who can least afford to pay more.
The president also wants to limit the availability of affordable “short term” health insurance plans, which can be substantially more affordable than traditional coverage. He is in the process of stripping some 3 million Americans of the health insurance they currently rely on and like. A short-term plan can be a lifesaver for people like my brother, a musician in Nashville. He loves his short-term health plan because it suits his lifestyle and his wallet.
As we go through another year of “open enrollment dread,” we’re reminded that the status quo – ever-rising health care costs, limited options, and no price transparency – is unsustainable. And unacceptable.
The truth is, we can have a Personal Option that empowers us with more choice and control over our health care. Republicans have the right prescription to make this a reality. It’s time for Americans to hear that finding the right health care doesn’t have to be a headache.
Lauren Stewart is senior federal legislative liaison at Americans for Prosperity and Concerned Veterans for America.
