Strengthening Small Businesses via Health Plan Associations

Strengthening Small Businesses via Health Plan Associations

The U.S. Chamber of Commerce Advocates for Association Health Plans to Boost Small Business Health Insurance

The U.S. Chamber of Commerce continues to champion policies that improve the quality of life for individuals and communities, and their latest focus is on small businesses. In a recent article published on their website, the Chamber outlines their support for the Association Health Plans Act of 2025 (S. 1847) and its House counterpart H.R. 2528. These bills aim to help small businesses offer affordable, high-quality health insurance by enabling them to join together in Association Health Plans (AHPs).

AHPs could potentially insure 400,000 previously uninsured individuals, expanding coverage for America's workforce. Key features and aims of these bills include expanded pooling and bargaining power, lower premiums and broader options, and a market-based solution that promotes competition rather than government mandates.

By allowing associations and their members to be treated as a single large group under the Employee Retirement Income Security Act (ERISA), the legislation gives small businesses access to economies of scale traditionally reserved for larger employers. With greater negotiating leverage, AHPs can offer lower health insurance premiums and expand access to more comprehensive provider networks.

The bills also provide critical safeguards to ensure the integrity and fairness of AHPs. For instance, there is a two-year existence requirement, non-discrimination based on health status or pre-existing conditions, and serving broader non-insurance purposes.

Lexi Branson, Vice President of Health Policy at the Chamber, leads the Chamber's Health Policy Division. The U.S. Chamber is actively supporting S. 1847 and H.R. 2528 in Congress.

Earlier this year, the Chamber's Health Policy Center organised the inaugural Health Innovation Summit, attended by top administration officials, current and former members of Congress, and industry leaders. The Summit focused on discussing innovative solutions to healthcare challenges faced by small businesses.

The bills build on a 2018 regulation that demonstrated AHPs' ability to lower insurance costs and broaden provider networks for small businesses. The Chamber has been a steadfast advocate for employer-sponsored insurance, which provides coverage to over 150 million Americans.

The U.S. Chamber of Commerce's support for S. 1847 and H.R. 2528 underscores their commitment to helping small businesses navigate the complexities of providing affordable, high-quality health insurance for their employees. As these bills make their way through Congress, small businesses can look forward to potential improvements in their health insurance options.

1. The U.S. Chamber of Commerce is advocating for the Association Health Plans Act of 2025 (S. 1847) and its House counterpart H.R. 2528, aiming to help small businesses offer affordable health insurance.
2. AHPs, enabled by these bills, could potentially insure 400,000 previously uninsured individuals, expanding coverage for America's workforce.
3. Key features of these bills include expanded pooling and bargaining power, lower premiums, and broader options, promoting competition and a market-based solution.
4. By allowing associations and their members to be treated as a single large group under the Employee Retirement Income Security Act (ERISA), the legislation offers small businesses access to economies of scale usually available to larger employers.
5. The bills provide critical safeguards to maintain the integrity and fairness of AHPs, such as a two-year existence requirement, non-discrimination based on health status or pre-existing conditions, and serving broader non-insurance purposes.
6. The U.S. Chamber of Commerce is actively supporting S. 1848 and H.R. 2528 in Congress, with Lexi Branson, Vice President of Health Policy at the Chamber, leading the Health Policy Division.
7. In addition to their support for these bills, the Chamber's Health Policy Center organized the inaugural Health Innovation Summit, bringing together top administration officials, industry leaders, and legislators to discuss innovative healthcare solutions for small businesses.
8. The bills build on a 2018 regulation demonstrating AHPs' ability to lower insurance costs and broaden provider networks for small businesses, as the Chamber continues to advocate for employer-sponsored insurance, covering over 150 million Americans.
9. As S. 1847 and H.R. 2528 make their way through Congress, small businesses can anticipate potential improvements in their health insurance options contributing to economic growth and benefiting the overall economy, commerce, finance, and health-and-wellness industries.

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