Bush Proposal Would Assist Workers Lacking Employer-Sponsored Health Coverage
February 1, 2002 - The Bush Administration's FY 2003 budget proposal will include $89
billion in new refundable tax credits intended to make private health
insurance more affordable for low-income Americans who lack access to
employer-sponsored coverage. The Department of Health and Human Services
(HHS) expects the proposal to benefit up to 6 million Americans, including
low-income working families that must purchase private coverage with
little or no government assistance.
Families earning up to $60,000 would qualify, with those earning below
$25,000 being eligible for up to $3,000 to cover up to 90 percent of
their premiums. Individuals earning less that $30,000 would be eligible,
with those earning below $15,000 receiving a maximum credit of $1,000.
Initially, individuals could apply their credits directly to their
monthly premiums. In 2004, certain individuals could use their credits
to obtain coverage via state-sponsored purchasing pools (e.g., state
employee purchasing pools or SCHIP purchasing pools for private insurance).
They would also have the option of obtaining coverage via certain privately
sponsored purchasing groups.
Information: Christiane Mitchell, Senior Legislative Affairs Manager
AAMC Government Relations
cmitchell@aamc.org
(202) 828-0526
Get Washington Highlights
in your Inbox!
| 
