In a bipartisan letter, Sinema urges Congressional action to provide relief from the tax and make health care more affordable for Arizonans
WASHINGTON – Arizona senior Senator Kyrsten Sinema and a bipartisan, bicameral group of members of Congress urged Congressional leaders to repeal the harmful Health Insurance Tax that will raise health care costs in 2020.
“Eliminating the Health Insurance Tax protects Arizona families, seniors, and businesses from rising health care costs,” said Sinema, who has led bipartisan legislation to repeal the Health Insurance Tax. “Congress must take immediate bipartisan action to eliminate this harmful health tax and make health care more affordable for Arizonans.”
The Internal Revenue Service estimates that in 2020 the Health Insurance Tax would impose a $15.5 billion fee on health insurance plans, affecting Arizona families and small businesses. According to a recent report from the Centers for Medicare and Medicaid Services, the net cost of health insurance grew 13.2% in 2018, compared to only 4.3% in 2017 when the Health Insurance Tax was not in effect.
Sinema earlier this year introduced legislation with Republican Senators John Barrasso and Cory Gardner to repeal the Health Insurance Tax. This repeal is based on legislation Sinema championed while in the U.S. House that will spare Arizona families a nearly $500 annual increase in health insurance premiums.
In January, Sinema led a bipartisan group of freshmen Senators in writing to Senate Leaders Mitch McConnell and Chuck Schumer requesting bipartisan action on the Health Insurance Tax, citing that insurance carriers were already factoring in the additional tax while setting 2020 rates, which would result in higher health insurance premiums costing $20.3 billion for 142 million Americans.
The full text of the letter is available HERE.