News Release
FOR IMMEDIATE RELEASE
Thursday, August 26, 2004 |
Contact: HHS Press Office
(202) 690-6343
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Secretary Says President's Comprehensive Health Care Plan Works to Make Care More Affordable, Accessible
Secretary Tommy G. Thompson said today that President Bush's efforts to reduce costs and improve access to health care, while building on the strengths of the private health care system, are the best ways to provide affordable coverage for more Americans.
Secretary Thompson said the President understands that rising health care costs put access to health coverage and medical care out of reach for many Americans, and that there is no simple answer to this complex problem. So the President has developed a comprehensive plan for reducing the uninsured that targets those who need help the most and uses consumer-driven health care and marketplace competition to lower costs - not a government take-over of our health care system funded by taxpayers.
The need for a comprehensive and pragmatic approach to the issue of the uninsured is underscored by a Census Bureau report released today showed that the number of Americans without health insurance increased by 1.4 million between 2002 and 2003. The overall number of people with health insurance coverage increased by 1.0 million in 2003.
"The President is working to expand access to health care for all Americans, beginning with those who need it most," Secretary Thompson said. "His initiatives are expanding access to medical care for children and lower-income Americans, as evidenced by his successful expansion of community health centers, children's health coverage and Medicaid programs."
"Yet, the President knows more needs to be done, particularly when it comes to lowering the cost of health care so that it is accessible to more people," the Secretary added. "The President is investing significantly in health care technology to bring down the cost of delivering medical care, and he continues to press for medical liability reform as frivolous lawsuits and defensive medicine continue to drive up health care costs."
Secretary Thompson added that millions are living healthier lives because of President Bush's leadership. Administration initiatives are working to provide Americans with better access to vital services, such as:
Community health centers - Three million more Americans have access to health care as a result of the President's five-year plan to fund 1,200 new and expanded health center sites to serve an additional 6.1 million people by 2006. These health centers provide direct medical care, particularly for lower-income and uninsured Americans. Medicaid and State Children's Health Insurance Program - HHS has helped states extend coverage to an estimated 2.6 low-income Americans by granting states waivers and approving state plan amendments to these programs. Overall, under the President's leadership, SCHIP enrollment has hit an all-time high of 5.8 million children in 2003, up 1.2 million since 2001. And the program has the potential to cover even more children. High-Risk Pools - In 2003, HHS provided states with $23 million in grants to help 18 states create these high-risk pools that provide coverage for people too sick to afford conventional insurance. Medicare - More than 4 million seniors are saving with Medicare prescription drug cards for the first time. In 2006, more than 40 million seniors will have access to prescription drug coverage for the first time under Medicare. Health Savings Accounts - The new Medicare law establishes these flexible, affordable accounts. Americans who set up Health Savings Accounts along with the purchase of a low-cost, high-deductible health care plan can save tax-free money to pay routine medical expenses and future health care costs. President Bush has proposed allowing individuals who establish an account to also deduct the premiums they pay for their high-deductible policies. Hospital Discounts - The Bush Administration also is investing nearly $25 billion annually to help hospitals bear the cost of the poor and uninsured, while making it clear to these hospitals that they can, and should, provide discounted care to the uninsured or underinsured. Lower Drug Prices - The Department introduced new regulatory processes that will help get low-cost generic alternatives to consumers more quickly. This initiative is estimated to save Americans as much as $35 billion over the next 10 years.
Additionally, Secretary Thompson called on Congress to approve the President's proposals to make health care more affordable and accessible, including:
Tax Credits - President Bush has proposed to establish refundable tax credits of up to $3,000 for families and $1,000 for individuals to help low-income workers buy health insurance coverage. If approved by Congress, this proposal would provide coverage for an estimated 4 million Americans. Association Health Plans (AHPs) - President Bush has proposed allowing small businesses to band together and negotiate lower health care premiums for their workers and families - just like big businesses. Medical Malpractice Reform -- President Bush believes common-sense reforms to medical liability law will increase access to quality, affordable health care for all Americans, while reducing frivolous and time-consuming legal proceedings against doctors and health care providers that are driving good providers out of local communities across the country and raising health care costs for all Americans. Investing in Technology - The President's FY '05 budget doubles the amount of funding for demonstration projects for broader adoption of health IT systems in communities and states. The President announced a goal of moving to personal electronic records for most Americans in the next ten years. By creating an efficient and effective health infrastructure, we will save lives and reduce the cost of health care by an estimated $131 billion annually or 10 percent of America's total health care spending.
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Note: All HHS press releases, fact sheets and other press materials are available at http://www.hhs.gov/news.
Last Revised: August 26, 2004
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