WASHINGTON, D.C. — Two Republican committee chairs in the U.S. Senate have introduced a new health care proposal aimed at shifting federal support directly to patients rather than insurance companies, according to a press release issued Monday.
Sen. Mike Crapo of Idaho, who leads the Senate Finance Committee, and Sen. Bill Cassidy of Louisiana, who chairs the Senate Health, Education, Labor and Pensions Committee, announced the Health Care Freedom for Patients Act, which they describe as an effort to reduce costs and expand control for individuals navigating rising health care expenses.
Crapo said current federal subsidies fail to bring down premiums for consumers, arguing that “giving billions of taxpayer dollars to insurers is not working.” The senators say their bill would instead provide money to families through Health Savings Accounts (HSAs), with eligibility tied to bronze and catastrophic insurance plans.
Cassidy said the proposal is designed to place financial authority “in the hands of patients,” adding that redirecting funds in this way is intended to make coverage more affordable.
The legislation includes several policy components, such as funding cost-sharing reduction payments intended to lower premiums, expanding access to low-cost catastrophic plans, and requiring states to verify citizenship and immigration status before enrolling individuals in Medicaid. It would also restrict the use of federal dollars for abortion services and gender transition procedures, including within Medicaid and Affordable Care Act exchange plans.
The senators position the measure as an alternative to what they describe as Democrats’ “temporary COVID bonuses,” arguing that those payments increase insurer revenue without meaningfully lowering consumer costs. They claim the policy expiration accounts for only a small share of projected premium increases in 2026.
The proposal follows earlier GOP efforts to expand HSA eligibility under the Working Families Tax Cuts Act. Supporters say the accounts provide a tool for managing out-of-pocket costs that continue to rise for many Americans.
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Click here for bill text.
