Center for Freedom and Prosperity
For Immediate Release
Wednesday, December 12, 2007
CF&P Endorses Shadegg's Health Care Choice Act:
Restoring Right to Engage in Interstate Commerce, Would
Lower Cost of Health Insurance
(Washington, DC, Wednesday, December 12, 2007)-Today, the Center for Freedom and Prosperity endorsed the Health Care Choice Act, a bill that promotes
jurisdictional competition between states in order to reduce the cost of health insurance.
"Onerous state regulations and mandates are driving up the cost of health insurance," commented Andrew Quinlan, President of the Center for Freedom and Prosperity.
"When states force residents to buy expensive add-ons and prohibit purchases from insurance providers in other states, they stifle competition and severely restrict consumer choice. This leads to higher prices
and less freedom. Americans should have the right to shop for health insurance across state lines," added Quinlan.
Mr. Quinlan also praised the bill's sponsor, Representative John Shadegg
(R-AZ), for his "visionary leadership in introducing this landmark legislation", adding that "as an organization that fights for tax competition, we are very happy to see a bill that promotes jurisdictional competition in other areas."
The Health Care Choice Act is restores the right to engage in interstate commerce and lets insurance buyers shop across state lines. This would cut insurance premiums by increasing
competition and encouraging state governments to reduce or eliminate expensive mandates. Empowering consumers by giving them more options is a good idea. The current system represents an anti-competitive model that
forces consumers to buy expensive insurance policies from a small cartel of providers. Increased competition will lead to more choice and innovation, while lowering consumer costs.
The Health Care Choice Act is of particular interest to CF&P. In June, 2006, the Center's affiliated organization, CF&P Foundation, released a study (link below), examining
how jurisdictional competition can lower health insurance costs in the individual market. The study, entitled "The Health Care Choice Act: Restoring Competition in the Individual Insurance Market,"
finds that government regulations and restrictions are artificially boosting premiums and making it more difficult for families to get health insurance.
CF&P Prosperitas Study: The Health Care Choice Act: Restoring Competition in the Individual Insurance Market
For additional comments:
Andrew Quinlan can be reached at 202-285-0244, firstname.lastname@example.org