Thread: House Passes McCarran-Ferguson Repeal Bill

House Passes McCarran-Ferguson Repeal Bill

by Jennifer Webb
23 March 2017

Yesterday, the U.S. House of Representatives passed H.R. 372, the “Competitive Health Insurance Reform Act of 2017” by Rep. Paul Gosar (R-Arizona), by a bipartisan vote of 416-7.

The legislation would repeal the limited McCarran-Ferguson antitrust exemption for health insurers; however, it would let the exemption remain in place for other lines of insurance, such as property-casualty and life insurance.

During consideration of H.R. 372, Rep. Jon Conyers (D-Michigan) put forth an amendment that would have expanded the bill to include medical malpractice insurance. The Big “I” opposed this amendment and sent a letter with a number of other insurance trade associations stating joint opposition. In arguing for his amendment, Rep. Conyers stated, “Democrats have long supported a full repeal of McCarran-Ferguson antitrust exemption for all insurers, not just for health insurers.”

The McCarran-Ferguson Act was signed into law in 1945 in order to affirm the primacy of state insurance regulation. Pursuant to McCarran-Ferguson, state regulated insurance companies hold a limited exemption from federal antitrust laws. One of the main benefits of the exemption is that it allows insurers to share information on insurance losses so that the insurance industry can better project future losses and charge actuarial-based prices for their products. The ability to pool data actually serves to increase market competition by giving small insurers access to large data sets that are needed to appropriately rate insurance products.

The Big “I” strongly supports state insurance regulation and the limited antitrust exemption for the p-c and life insurance markets via the McCarran-Ferguson Act. In particular, the association believes the exemption is vital to the competitiveness of state p-c insurance markets.

Furthermore, while the Big “I” appreciates the intent of the authors of this legislation to help reform the country’s health insurance markets, the Big “I” believes the repeal of the exemption is highly unlikely to result in increased competition and might actually lead to the opposite. Previously, the Big “I” submitted testimony to a congressional hearing outlining the association’s concerns regarding H.R. 372.

Jennifer Webb is Big “I” federal government affairs counsel.

http://www.iamagazine.com/news/read/...on-repeal-bill

Wow. The House had already passed the repeal of the McCarran-Ferguson Act as it relates to health insurance on March 22, 2017, the day before the big vote on the Phase 1 bill that was pulled.

No MSM coverage of this that I saw or heard, which I guess is why none of US knew it.

Thank you US House of Representatives. Thank you very very much!!

This is so huge and no coverage about it at all that I saw. I stumbled it across it tonight by sheer accident.

So our dear Donald Trump "has erased the lines". Thank you Mr. President. You've done what no one else could do since 1945 and did it with a 416-7 vote. Amazing. You can scratch that one off your list.

I went back and checked Trump Twitter and no mention of this. Maybe because it still has to pass the Senate first. He mentions all the bills he signs, but this is a huge accomplishment to get such an overwhelming and bipartisan vote to repeal the health insurance exemption from McCarran-Ferguson by the US House of Representatives, I'm just stunned there was no coverage at all about the House vote.

Don't screw it up, Senate. Mitch, this is in your basket of tricks now, so pass it and pass it quick. This is HUGE for our Little Land of Liberty and the people of the United States.

The Bill is HR 372 and it's presently in the Senate Judiciary Committee. That's Chuck Grassley's committee, he's Chairman, hope he supports it and moves it out quick to the Senate floor. LETS GO Senator Grassley, this is a no-brainer.

It seems now the federal government is going to regulate insurance?

Is that what this bill says?

Originally Posted by nntrixie

It seems now the federal government is going to regulate insurance?

Is that what this bill says?

Yes, with respect to health insurance companies doing business across state lines. McCarran-Ferguson applies to all insurance, but this bill only removes the McCarran exemption of federal anti-trust laws to health insurance companies. Health insurance companies will need to abide Sherman Anti-Trust Laws and Federal Trade Commission laws, rules and regulations, like all other businesses in the United States if this bill passes the Senate. States can still have their own regulations, but not at the exclusion or exemption of federal anti-trust and consumer protection trade laws.

The House passed another bill. HR 1101, on March 22, 2017 authorizing business associations to sell insurance. This is a great thing. This also occurred prior to the health care vote that was pulled. Absolutely NO MSM reporting on this. None.

Here is the bill that passed the House 236 to 175.

H.R.1101: Small Business Health Fairness Act of 2017
About this Bill
You can read the bill
Sponsor Sam Johnson, R-Texas
Total Cosponsors 37 (All Republicans)
Introduced Feb. 16, 2017
Latest Major Action March 23, 2017
See it on GovTrack
See it on C-SPAN
Bill Progress

Bill introduced in the House
Bill passed in the House
Bill passed in the Senate
Bill signed into law

Bill Summary
Small Business Health Fairness Act of 2017 This bill amends the Employee Retirement Income Security Act of 1974 (ERISA) to provide for the establishment and governance of association health plans (AHPs), which are group health plans sponsored by business associations. The bill establishes requirements for AHPs relating to certification, sponsors and boards of trustees, participation and coverage, nondiscrimination, contribution rates, and voluntary termination. AHPs offering benefits that are not health insurance must: (1) establish and maintain sufficient reserves and stop-loss insurance to cover those benefits, and (2) make annual payments to a fund to be used to pay for stop-loss insurance for such AHPs for which there is a reasonable expectation that claims would not be satisfied without such insurance. AHPs that fail to meet these requirements are subject to termination. The Department of Labor must establish a Solvency Standards Working Group. States may tax contributions to AHPs, with certain conditions. The bill preempts state laws that preclude health insurers from: (1) offering health insurance in connection with a certified AHP; or (2) offering health insurance of the same policy type to other employers in the state that are eligible for coverage under AHPs. The bill establishes criminal penalties for willfully making false representations regarding an AHP.

(Source: Congressional Research Service)
Bill Actions
Date Description
March 23, 2017 Received in the Senate and Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
March 22, 2017 Motion to reconsider laid on the table Agreed to without objection.
March 22, 2017

Vote in House

On passage Passed by recorded vote: 236 - 175 (Roll no. 186).
March 22, 2017

Vote in House

On motion to recommit with instructions Failed by the Yeas and Nays: 179 - 233 (Roll no. 185).
March 22, 2017 The previous question on the motion to recommit with instructions was ordered without objection.
March 22, 2017 DEBATE - The House proceeded with 10 minuted of debate on the Shea-Porter motion to recommit with instructions. The instructions contained in the motion seek to require the bill to be reported back to the House with an amendment to require plans to provide coverage for substance use disorder treatments, including treatment for opioid use.
March 22, 2017 Ms. Shea-Porter moved to recommit with instructions to the Committee on Education and the Workforce.
March 22, 2017 DEBATE - Pursuant to the provisions of H.Res. 210, the House proceeded with 10 minutes of debate on the Herrera Beutler amendment No. 1.
March 22, 2017 DEBATE - The House proceeded with one hour of debate on H.R. 1101.
March 22, 2017 Rule provides for consideration of H.R. 1101 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. Measure will be considered read. Specified amendment is in order.
March 22, 2017 Considered under the provisions of rule H. Res. 210.
March 22, 2017 Ms. Shea-Porter moved to recommit with instructions to the Committee on Education and the Workforce. (text: CR H2328)
March 22, 2017 Considered under the provisions of rule H. Res. 210. (consideration: CR H2312-2330; text of measure as reported in House: CR H2312-2318)
March 21, 2017 Rule H. Res. 210 passed House.
March 20, 2017 Rules Committee Resolution H. Res. 210 Reported to House. Rule provides for consideration of H.R. 1101 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. Measure will be considered read. Specified amendments are in order.
March 17, 2017 Placed on the Union Calendar, Calendar No. 23.
March 17, 2017 Reported (Amended) by the Committee on Education and the Workforce. H. Rept. 115-43.
Feb. 16, 2017 Referred to the House Committee on Education and the Workforce.

Thank you, thank you very very much!!

:)

The passage of HR 1101 in the House on March 22, 2017 is huge for small companies and entrepreneurs. Thank you Republicans. Thank you US House of Representatives. Pass it Senate, and Pass it QUICK!!

I hope we will like it when we get it -