House Passes Bill Amending McCarran-Ferguson Act; Removes Anti-Trust Exemption from Health Insurers
November 16, 2009

The U.S. House of Representatives recently passed H.R. 3962, which amends the McCarran-Ferguson Act and removes the Act's anti-trust exemption from health insurers.

Section 262 of the bill, now under review of the Senate, adds the following language to the McCarran-Ferguson Act:

Except as provided in paragraph (2), nothing contained in this Act shall modify, impair, or supersede the operation of any of the antitrust laws with respect to the business of health insurance or the business of medical malpractice insurance.

However, the bill, which is part of the Obama administration's healthcare reform plan, does not address automotive insurers. Though a bill was introduced earlier this year by Rep. DeFazio to remove this exemption for all insurers, H.R. 1583 has not moved past the House Subcommittee on Courts and Competition Policy, where it has been since late-April. (CLICK HERE for related story.)

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