Congresswoman Diane E. Watson

“Between You and Your Doctor: The Bureaucracy of Private Health Insurance- Day One”

Subcommittee on Domestic Policy
Oversight and Government Reform Committee

Thursday, September17, 2009
2154 Rayburn HOB
2:00 P.M.

Thank you Mr. Chairman for holding this series of important and timely hearings on the challenges millions of Americans face when battling for coverage with their private health insurance providers.  As President Obama and Congress continue to debate the principles and features of healthcare reform, these hearings provide important insight into a status quo where both the un-insured and the under-insured are not receiving the care they need.  

The testimony of yesterday’s witnesses provided prime examples of why reform cannot wait.  For instance, Mr. Mark Gendernalik, despite being covered by his employer as a teacher with the Los Angeles Unified School District, still experienced delays and denials while seeking treatment for his infant daughter.  Today we have the opportunity to hear from representatives of some of the largest private insurance companies which, through underwriting practices, policy rescissions or rejections due to pre-existing conditions put their profit margins before the
well-being of the patient. 

I was especially horrified to learn that in 8 states and the District of Columbia, insurance companies include domestic violence as a pre-existing condition.  With 20 to 35 percent of emergency room visits made by women a result of domestic violence I can see how this morally appalling practice makes sense for insurance companies trying to spend as little as possible.  What I cannot understand is how we can consent to such practices continuing. The United States can and should do better.

In the past few months the health insurance industry has echoed their claims dating from the 1990s, that they support healthcare reform.  Yet absent federal laws to compel them to do so they have not taken the initiative in the intervening years to change their ways.  Their actions have made it clear that without meaningful reforms to increase accountability, affordability, and competition the insurance industry will continue the unfair practices which allow them to avoid paying for the treatments their customers need and deserve.

Thank you Mr. Chairman and I yield back.