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PIA Advocates for Key Fixes to ACA Following Decision

Immediately after the Supreme Court's decision upholding subsidies in the Affordable Care Act, PIA advocated for two key fixes to the healthcare law...
June 30, 2015

Immediately after the Supreme Court's decision upholding subsidies in the Affordable Care Act (ACA), PIA advocated for two key fixes to the healthcare law. In an interview with A.M. Best's BestNews, PIA said Congress should pass two bills: one removing independent agent compensation from the calculation of medical loss ratios (MLRs); and the other repealing the 40% excise tax on so-called "overly generous" employer-sponsored health plans, known as the "Cadillac Tax."

"Congress needs to fix this," said PIA National Executive Vice President & CEO Mike Becker, referring to the MLR. "The current interpretation of the MLR formula is hurting independent agents and the individuals and small businesses they serve."

Regarding the Cadillac Tax, PIA National Director of Federal Affairs Jon Gentile says it has to go. "PIA strongly supports a repeal of the 'Cadillac Tax' because it will impact not just high-benefit plans, but moderate-benefit plans, and it could have an unequal impact based on the age, gender, family size and geographic location," stated Gentile. On June 26, PIA was joined by a coalition of 18 business groups, including the American Benefits Council and the U.S. Chamber of Commerce, in seeking a repeal of the tax.

Insurance Industry Seeks Fixes to ACA (BestNews 6/26/15) (PIA interviews)

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