Naples, FL—After the District Court for the District of Columbia ruled against a portion of the Department of Labor’s association health plan regulations, Foundation for Government Accountability (FGA) Senior Fellow Josh Archambault issued the following statement:
“States should not let this ruling hinder their efforts to expand health insurance options for small businesses through association health plans (AHPs). Since 2000, insurance premiums have tripled, leaving many small businesses unable to afford offering health insurance to their employees. AHPs empower small employers to band together to purchase insurance, lowering costs and enabling these companies to offer insurance to their employees while also freeing up funds to hire new workers.
It is not yet clear what the full effect of this ruling will be, but it will likely be appealed shortly, so states should proceed with updating their laws in order to empower small businesses to take full advantage of association health plans and new federal flexibility. In doing so, states can ensure that small businesses and entrepreneurs have the same access to affordable health insurance as large employers.”
The Foundation for Government Accountability is a non-profit, multi-state think tank that specializes in health care, welfare, and work reform. To learn more, visit TheFGA.org.