• Number Of Uninsured Children Hits 9 Million
• Small Business Disaster Program Revamped
• Committee Holds Hearing On Small Business Health Care

Number Of Uninsured Children Hits 9 Million

In the past ten years, employer-sponsored insurance for parents in lower-income brackets dropped three times as fast as employer-sponsored insurance for their wealthier counterparts, according to a study by the Robert Wood Johnson Foundation, an organization that studies health and health care. The study shows that many working parents are losing employee benefits each year. Since 1997, the number of families earning less than $40,000 per year and who are offered health insurance has dropped nine percent. Currently, less than half of these families receive coverage, while parents in families earning $80,000 or more per year have held at around 78 percent. According to the study, 75 percent of children live with someone who works full-time, which amounts to about nine million children living without health insurance. “There are a growing number of full-time working families that don’t qualify for federal programs and can’t afford private coverage,” said Kristie Darien, executive director for the legislative offices for the National Association for the Self-Employed (NASE). “We’re glad to see the continuance of state initiatives, like the State Children’s Health Insurance Program, which help provide needed peace of mind to families who fall into this gray area.” The survey findings were released in preparation for the fifth annual “Cover the Uninsured Week.” The national campaign seeks to raise awareness about children without health coverage and takes place in late April. Many children who are currently uninsured may qualify for the State Children’s Health Insurance Program (SCHIP). To find out more about SCHIP coverage by state, visit http://www.insurekidsnow.gov. Small Business Disaster Program Revamped The House Small Business Committee recently released a plan to revitalize the program that comprises the Small Business Administration’s (SBA) foundation for reconstruction after natural disasters. New York Committee Chairwoman Nydia Velázquez, who sponsored the measure, had several recommendations for the Disaster Loan Program aimed at increasing its ability to respond more quickly and creating an easier user-interface for rebuilding assistance through provisions like an application tracking system. Under the bill, the SBA would prepare a disaster preparedness plan of action, create a separate office to deal specifically with disaster rebuilding as well as a 1,000-person force on standby to serve as a “disaster reserve corps.” It would allow the agency to disburse some loans immediately following a disaster and create a more flexible timetable for the repayment of the funds. A provision that would allow businesses who were denied grants after the 2005 hurricane season to collect up to $100,000 in funding drew ire from some committee members who sited limited resources. In past months, the committee’s Senate counterpart, headed by John Kerry, D-Mass., also introduced a plan to overhaul the program. Both bills are slated to be reviewed this spring before heading to the House and Senate floor for debate. For more about the House plan, visit http://thomas.loc.gov and search under “HR 1361.” To read Sen. Kerry’s proposal, search under “S 163.” Committee Holds Hearing On Small Business Health Care The House Committee on Small Business met with health insurance officials, small business advocates and independent contractors last week to discuss ways to reduce costs and make health care coverage more widely available. “According to a Kaiser Commission on Medicaid and the Uninsured, between 2001 and 2005, the number of workers receiving coverage through their employer decreased nearly 4 percent (81.2 percent to 77.4 percent),” said Chairwoman Nydia Velázquez, D-NY. “More than half of the decline was attributed to companies terminating insurance coverage.” The CEO of America’s Health Insurance Plans (AHIP), the leading representative of insurance firms, said they have been pushing for greater transparency and health IT, both major policy initiatives of the NASE. In addition to offering proposals to increase access to coverage, AHIP highlighted some of the issues the industry is currently promoting, such as programs that encourage the use of generic drugs, and the cost-related grouping into “tiers” to allow consumers greater choice in the cost of their prescription. AHIP also introduced a plan that included a $50 billion federal grant to assist states in expanding access to coverage, among other recommendations. Other groups offered solutions as well as health savings accounts (HSAs), health tax credits, small business health plans (SBHPs) and HealthMarts, which are clearinghouses for regional health insurance. The NASE weighed in on this important issue by submitting testimony to the Committee. To read the NASE’s testimony, please visit http://advocacy.nase.org/testimony/NASEWrittenTestimonyHealthcare.pdf. Did you know that most business tax deductions are found in your business checkbook? How do you know which business travel expenses you can write off? What about the kind of proof you need for the home office deduction? Tax Day is less than a month away and the next weeks will go by fast, according to Keith Hall, national tax advisor for the National Association for the Self-Employed (NASE). Visit the NASE audio page at http://news.nase.org/nase_podcast.asp to find these tax tips and others from Keith Hall and check back each week to find more audio clips for download. To read more about the NASE’s new audio clips program, visit http://news.nase.org/nase_about/PressRelease.asp?PRID=199.