Democrats on the Joint Economic Committee criticized the Republicans American Health Care Act, claiming the plan to establish health savings accounts (HSAs) will make it difficult for most non-wealthy Americans to save for healthcare.
The report, entitled “Why Health Saving Accounts are Not the Answer,” said HSAs will primarily benefit wealthy Americans who save at much higher rates. It will do little to help most Americans afford healthcare, the report said.
With HSAs, families would have to save hundreds of dollars a month to cover medical expenses, a proposition that is very difficult for most Americans. JEC Democrats said just 53 percent of American families are able to save at all. Less than half of low-and middle-income families are able to save, and in the poorest families, fewer than one in three would be able to save for HSA’s.
“Adding this burden to many American families to pay for life-saving care is unrealistic and mean-spirited,” Sen. Martin Heinrich (D-NM), ranking member of the JEC, said. “In addition to costing 24 million Americans their health coverage, the Republican plan will place unnecessary hardships on low-income and working Americans while giving away millions to the wealthiest among us.”
Last week, the Congressional Budget Office estimated that 14 million more people would be uninsured under the AHCA in 2018, increasing to 24 million by 2026.
“HSAs do not make health coverage more accessible and asking a waitress to save hundreds of dollars more per month to finance another tax break for wealthy corporate executives is as backwards of an idea as you could create,” Heinrich said. “Having an economy that works for all means making sure Americans get the affordable health care they deserve.”