Health insurance mandates drive up the cost of premiums. Filed bills by Sen. Bettencourt and Rep. Paul would require an analysis of new mandates showing their cost before they are enacted. TCCRI's report on this issue shows the need for these reforms.
Texans deserve to be able to access care and coverage at affordable prices in a manner that fosters both government and consumer accountability. Some of the drivers in healthcare costs are both positive and beyond state government’s control, such as longer life spans and advancements in medical technology. However, burdensome government regulations and mandates have played a considerable role in driving up the cost of health insurance. And, while some reforms can be implemented only by Congress, there are free market policies that state leaders can consider that would help address the most critical issues facing healthcare today.
This paper discusses how unnecessary government intrusion has driven up the cost of health coverage while often decreasing consumer choice. It suggests several reforms that the 89th Legislature could consider to promote affordability of high-quality health care in the private sector – a goal that TCCRI has championed for many years. These reforms include rejecting any new benefit mandates; requiring a fiscal note for any proposed mandate, with the note showing the effects of the prospective legislation on the private sector; fully funding the All-Payor Claims Database to ensure there is high-quality data available to analyze the costs of care and potential costs of proposed new mandates; and offering employers an option to purchase health coverage for their employees that is free of existing state law mandates.
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