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Arrington Fights to Lower Health Care Costs, Increase Transparency

  • Healthy Competition for Better Care Act thumbnail.png

Washington, D.C. – Today, House Budget Chairman Jodey Arrington (TX-19) introduced the Healthy Competition for Better Care Act, bipartisan legislation to promote transparency in health care, crack down on anti-competitive practices, and remove restrictions preventing competition in health care markets.

“Americans are paying too much for too little health care,” said Chairman Arrington. “My Healthy Competition for Better Care Act cracks down on anti-competitive practices, removes unnecessary restrictions, and gives patients the freedom to find better-quality and lower-cost care. This bipartisan legislation puts hardworking families first, ensures fair competition, and puts patients, not bureaucrats, back in charge of their health care.”

“I have often said that the best way to lower health care costs for hardworking Americans is to enhance competition in the marketplace. For too long, anti-competitive practices have driven up premiums and out-of-pocket costs while simultaneously limiting consumers’ ability to choose the health care plan that meets their needs,” said Congressman Rick W. Allen. “The Healthy Competition for Better Care Act proposes comprehensive reforms to improve our flawed system by increasing transparency, fostering greater competition, expanding access to quality care, and lowering skyrocketing health care costs. I thank Representative Arrington for his leadership on this legislation and look forward to its consideration by the Education and Workforce Committee.”

“PBGH strongly supports Rep. Arrington’s reintroduction of the Healthy Competition for Better Care Act, which will increase health care affordability by prohibiting anticompetitive business practices and removing restrictions that are obstacles to true competition in health care markets,” said Elizabeth Mitchell, CEO of PBGH. “The procompetitive reforms in this bill will enable our purchaser members – who through PBGH’s Health Care Data Demonstration Project have identified higher-quality, lower-cost providers – to steer their plan members more freely to higher-value providers and form direct contracts. We look forward to continuing to work with Reps. Arrington, Davis, and Allen to ensure the bill delivers the greatest possible impact on cost and quality for America’s workers and families.”

“Texas has taken major steps to eliminate anti-competitive practices in health care, but employers and families still face federal barriers that drive up costs. Congressman Arrington’s legislation brings the same pro-competition, pro-transparency reforms to the national level by cutting back outdated restrictions that inflate prices and limit patient choice,” said Faith Villarreal, Government Affairs Director of Texas Association of Business. “By allowing insurers, employers, and providers to negotiate freely and reward patients who choose high-value care, this bill promotes the kind of market competition that lowers costs and improves outcomes. Texas businesses strongly support these efforts to deliver a more affordable, transparent, and competitive health care system.”

“Making health care more affordable for working families is critically important and the Alliance to Fight for Health Care applauds the bipartisan reintroduction of the Healthy Competition for Better Care Act, which will help reduce health care costs for patients,” said Heather Meade, Alliance to Fight for Health Care. “Prohibiting anti-competitive contracting will improve access to higher quality, lower cost care and is an important step in improving the health care system for all Americans.”

“The only way to lower health care costs effectively is by addressing the root causes of rising prices – including anti-competitive contracting that stifles choice and competition,” said Ilyse Schuman, American Benefits Council, Senior Vice President, Health and Paid Leave Policy. “The bill introduced today by Representatives Arrington, Davis and Allen will help lower costs by promoting competition in the health care market and employer innovations that prioritize high-value care. We applaud them for their leadership and urge Congress to pass this legislation.”

“Health care costs are too high, premiums continue to grow, and consumers too often lack real power or choice in the system. The problem is we no longer have competitive health markets in America,” said Joel White, President of the Council for Affordable Health Coverage.“As big insurers and health systems increase their market power, prices increase by double digits. If current trends persist, the typical American family will spend 40 percent of their income on health premiums. Your bill takes direct aim at these entrenched barriers. By promoting competition, enhancing transparency, and freeing plans and providers to contract more flexibly, it offers a concrete path toward lower costs and better outcomes. The Council for Affordable Health Coverage looks forward to working with you to enact this bill into law.”

“ERIC strongly supports the "Healthy Competition for Better Care Act" because it promotes transparency, eliminates anti-competitive barriers, and empowers patients to choose high-quality, lower-cost care,” said Melissa Bartlett, Senior Vice President of Health Policy at The ERISA Industry Committee. “Encouraging these value-driven provider partnerships is essential to helping employers and employees access the best care at the best prices. We applaud Representatives Arrington, Davis and Allen for introducing the legislation and look forward to working with them to advance more affordable health care solutions.”

“Right now, working families are struggling more than ever under the crushing burden of unaffordable health care, groceries and other basic necessities, and they are begging Congress for relief,” said Sophia Tripoli, Senior Director of Health Policy at Families USA. “Only Congress has the power to advance bipartisan solutions that will hold corporate health systems accountable for charging excessive health care prices - a primary driver of our nation's health care affordability crisis. The Healthy Competition for Better Care Act is commonsense and bipartisan legislation that would rein in monopoly power, open access to higher-quality, lower-cost care, and reduce wasteful health care spending. Families USA applauds Representatives Arrington (R-TX), Davis (D-NC), and Allen (R-GA) for leading on this critical step to make health care more affordable for our nation's families.”

“Amid the debates on Capitol Hill on how to address rising health care costs, it is promising to see a bipartisan group come together with a smart and timely proposal to lower hospital costs,” said Darbin Wofford, Deputy Director of Health Care at Third Way. “Sky-high hospital prices are one of the key reasons behind the rising cost of health care. The Healthy Competition for Better Care Act would take on anti-competitive behavior in hospital contracting, which would lower costs for patients, employers, and taxpayers. Third Way is a proud supporter of this legislation and thanks Congressmen Jodey Arrington, Don Davis, and Rick Allen for their leadership.”

Background:

  • The legislation promotes transparency in health care, cracks down on anti-competitive practices, and removes restrictions preventing competition in health care markets. In all, making health care better for patients and lowering health care costs.
  • The legislation enables more group health plans and health insurance issuers to enter into agreements with providers that guide enrollees to high-value providers and provide incentives to encourage enrollees to seek higher-quality, lower cost care.
  • The legislation was scored last Congress and saved $4.9B over 10 years and lowered insurance premiums by 0.1%.

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