DELAURO, ROCKEFELLER ASK ADMINISTRATION TO PROTECT CONSUMERS ON HEALTH CARE

Goal is to Provide Americans with Easy to Read, Easy to Understand Information on Health Insurance

WASHINGTON, D.C. — Congresswoman Rosa L. DeLauro (D-CT) and Senator Jay Rockefeller (D-WV) today asked three federal agencies to insist on strong rules so that consumers can easily understand their health coverage and determine the best insurance for themselves and their families. They also urged the Administration to reject calls from the insurance industry and others who are already trying to weaken the regulations. The health care reform law included several provisions designed to increase transparency and accountability in the health insurance industry, based on a bill introduced by Congresswoman DeLauro and Senator Rockefeller in 2009. The legislation brings much-needed simplicity and key facts on health coverage to consumers through the creation of standardized summary of benefits and coverage, including a "Coverage Facts" label for health care plans – similar to the "nutrition label" on packaged foods.

"Consumers need to be able to make informed decisions when selecting their health insurance plan, and these new rules will help Americans to understand critical details about those plans related to coverage, premiums and deductibles. The process of selecting your insurance plan should not be as complex as it is now, when it is difficult to compare plans or determine what a plan would actually cover. These rules are a huge step forward for transparency in the health insurance industry, and will help to ensure that Americans can determine the best plan for themselves and their families," said DeLauro. "We must ensure that the these rules maintain the spirit of the original legislation and help consumers to better understand their health insurance plans and make more informed decisions."

"When spending money on a new purchase, most people examine all their options, comparison shop, and try to make an informed decision. People should be able to do the same thing before they choose a health insurance plan," said Rockefeller. "The whole process can be incredibly confusing and overwhelming, and for too long, insurance companies have profited off of consumers' lack of understanding of their own health insurance policies. We know that these new rules can empower consumers with better information to help them easily compare plans and find one that works best for them and their families. The Administration should reject calls by the health insurance industry and others to weaken these rules, and instead should make these new rules as strong as possible to put the power in the hands of consumers, not insurance companies. I encourage federal agencies to follow the intent of the law and require clear and easily understand guidelines for the language of policies."

In letters to the Secretaries of the U.S. Departments of Health and Human Services, Treasury, and Labor, DeLauro and Rockefeller encouraged the Secretaries to:

• Require health insurance companies to tell consumers about what is really in their health insurance to help them make apples-to-apples comparisons when shopping for plans, and • Force health insurance companies to become more accountable by reporting data that will help regulators determine whether insurance companies complied with the health care reform law's consumer protections.

In August, the U.S. Departments of Health and Human Services, Labor, and Treasury announced the rule which will make sure that health insurers and group health plans provide consumers with information that is understandable and consistent so that people can more easily compare details about health plan benefits and coverage.