Logo, The Employer Alliance for Affordable Health Care - Health Care Advocacy Group
(518) 462-2296
P.O. Box 1412
Albany, NY 12201

MEMORANDUM IN OPPOSITION

 

Bills:   S.6147/A.10970 ≠ An act to amend the insurance law, in relation to mandated coverage of sperm banks.

 

The Employer Alliance for Affordable Health Care, a coalition of more than 2,000 New York employers committed to keeping health care in New York affordable, supports a moratorium on all health insurance mandates.  The high cost of health care in New York continues to climb at two to three times the rate of inflationAccordingly, the Employer Alliance opposes S.6147/A.10970 because it will further increase the cost of health insurance at a time when the rate of New Yorkπs employer-based health insurance continues to erode.

 

The impact of increasing health care costs in New York is evident in the stateπs stubbornly high rate of uninsured.  Interestingly, according to the United Hospital Fund, of the more than 3 million New Yorkers with no insurance, 63% work full-time.  This suggests that health insurance affordability is at the root of New Yorkπs stubbornly high rate of uninsured.  New York is facing a crisis that demands legislative initiatives to enhance access to insurance ≠ not more mandates that exacerbate costs and reduce coverage options for employers and employees alike.

 

Like many proposed mandates, covering sperm banking for males undergoing cancer treatment that may render them sterile is a desirable goal.  However, all mandates have costs and the cost of this mandate will further impact premiums. According to internet sources, cryopreserving 4 specimens (as required in the bill) cost more than $1,050 with storage fees for each specimen approximating $75 annually ≠ totaling more than $1,350 in the first year alone.  That amount represents 43% of the annual average individual insurance premium in New York.  This benefit will clearly add to the more than 12% already being paid by health insurance purchasers to cover New Yorkπs existing 33 mandated benefits.


 

While the costs alone for this mandate are prohibitive, the Employer Alliance, objects to requiring coverage of a service that will not save or prolong life expectancy of individuals. The question is simply this: If the state were to ≥tax≤ small business to invest more money in health care, where should the last dollar go?  Is levying a premium tax on small employers (i.e: mandates) to fund sperm banks more important than providing insurance for some of the 3 million New Yorkers with no coverage? How about expanding pharmaceutical coverage for the elderly or the underinsured? Or perhaps in this economic environment should we not tax small businesses at all? 

 

Unfortunately, New York lacks a coherent health policy to help guide lawmakers through these difficult questions.  The result is health policy decision-making subsumed by politics that is ultimately detrimental to the health of all New Yorkers.

 

Today, New York has more than 100 mandated benefit bills under consideration.  However, unlike nearly 25 other states, we have no process to evaluate these proposals for cost or medical efficacy.  Over the next several weeks both houses may vote on additional mandates including wigs, mental health parity and early intervention.  Cumulatively, if enacted, these bills could account for hundreds of millions in additional premiums annually.  For premium payers already suffering from 10%-20% increases in premium this year, passage of any measure that exacerbates this trend is unconscionable.  We cannot afford this mandate or any other mandate this year.  

 

For all these reasons, the Employer Alliance for Affordable Health Care urges you to vote NO on this legislation.

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Employer Alliance For Affordable Health Care

PO Box 1412

Albany, New York 12201-1412

(518) 462-2296

employeralliance@yahoo.com

www.employeralliance.com

Scott Miller, Chairman

5/2004