03/31/1993 05:00 PM House ECO

  HB 12 GROUP HEALTH INS. FOR SMALL EMPLOYERS                                  
                                                                               
  Number 165                                                                   
                                                                               
  CHAIR MACLEAN summarized HB 12 ("An Act relating to health                   
  insurance for small employers; and providing for an                          
  effective date.") saying the bill created a source of health                 
  insurance for all small employers in the state, guaranteeing                 
  access to health insurance but not mandating company                         
  participation.                                                               
                                                                               
  Number 215                                                                   
                                                                               
  REPRESENTATIVE VEZEY stated he was opposed to co-sponsoring                  
  this bill because it would drive up the cost of insurance by                 
  attempting to restrict the ability of insurance companies to                 
  exclude preconditions; meaning people that were healthy                      
  would pay more to subsidize those that were not.                             
                                                                               
  Number 232                                                                   
                                                                               
  REPRESENTATIVE B. DAVIS disagreed, stating that in the 24                    
  states where this bill had been implemented, the overall                     
  costs had not increased because healthy people helped absorb                 
  the risks for those that were not able to get insurance on                   
  their own.  She added that the bill was backed by the                        
  Chamber of Commerce representing small businesses.                           
                                                                               
  Number 262                                                                   
                                                                               
  CHAIR MACLEAN said, "There was one objection, so what we                     
  will do is, if we have consensus, then we will co-sponsor.                   
  But we will watch the progress, and we each have our own                     
  individual opinions on it.  I believe that this is a good                    
  start; it does afford access to it, so we all have our                       
  personal opinions on bills."                                                 
                                                                               
  (CHAIR MACLEAN did not officially announce the committee's                   
  decision.  The committee aide later confirmed that the                       
  committee would not be co-sponsoring HB 12.)