Insurers’ Antitrust Exemption Repeal Bill Due For House Introduction  

NU Online News Service, Feb.4, 11:26 a.m. EST

WASHINGTON—Legislation will be introduced in the House tomorrow repealing the antitrust exemption afforded health and medical liability insurers through the McCarran-Ferguson Act.

The bill that will be introduced will not include a provision contained in an earlier version providing express enforcement authority to the Federal Trade Commission with respect to “unfair methods of competition” for all types of insurance, according to insurance industry lobbyists.

In early December the House passed its version of health care reform legislation, including much more far-reaching language on antitrust repeal, which is opposed by all segments of the insurance industry.

The latest legislation on antitrust repeal will be introduced by Rep. Tom Perriello, D-Va., and Rep. Betsy Markey, D-Colo., at a press conference tomorrow in anticipation of a House vote next week.

In announcing their plans, the two members said, "It's time for Washington to decide whether we stand with patients or profiteering, whether we believe in market competition or collusion between politicians and insurance monopolies.”

They remarked in a statement that, in the last 14 years, “there have been 400 mergers among health care insurers so that 95 percent of health insurance markets are ‘highly concentrated,’ which means consumers have little or no choice between insurers.”

“This non-competitive market has led to health insurance premiums having more than doubled in the past decade,” the statement said.

In a message to its members asking them to call their congressmen to oppose the bill, the National Association of Professional Insurance Agents said it is unclear whether the bill will have the votes to pass, “even if it comes up in the House floor. In fact, some industry lobbyists think that a vote may not be taken if there aren’t sufficient votes to pass it.”

• • 2/4/2010 11:54:18 AM
  • Jerry Ovall
  • Anti Trust for Health Insurance
  • It used to be that Blue Cross-Blue Shield, one of the largest if not the largest health insurance provider, wasn't even insurance. Sellers didn't have to be licensed as insurance agents, etc. If that's still the case, does this apply to BCBS?
• • 2/4/2010 3:53:17 PM
  • james lette
  • anti trust bill
  • the state and federal has mandated what is to be covered in the health insurance policies. now they want the cake and eat it. again the insurance companies, banks and investment houses or stockbrokers aka as investment banks need to be seprated. the one that need to be regulated is the stockbroker they need 50% reserves to cover retirement funds.
• • 2/5/2010 3:41:29 PM
  • journeyhome
  • health care
  • “Use Senate reconciliation and expand Medicare via the Senate’s buy-in provisions. The CBO has already signed off on this as a means of saving money. More importantly, if more Americans can do a buy-in with Medicare, it creates more cost control (because there’s a genuine “public option” competitor). It also helps to solve the problems of pre-existing conditions, because Medicare does not deny coverage on this basis. Allowing a Medicare buy-in to Americans under 65 would give people a genuine alternative to private insurance and thereby render the pre-existing question moot. It would also lower Medicare costs by expanding the risk pool of patients (the great bulk of medical expenses are accounted for by a small number of people, mostly the elderly, requiring very expensive treatment). And it would substantially enhance the global competitiveness of American corporations. After all, in what other country in the world is health care a marginal cost of production for business?” - Roosevelt Institute Marshall Auerback

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