The Texas Way is a uniquely Texan, private market-based health insurance coverage program that will improve the health of low-wage working Texans and strengthen the state’s economy. As proposed, the Texas Way Program:
- Connects uninsured Texans with private insurance coverage choices;
- Requires personal responsibility;
- Promotes appropriate utilization of health care services; and
- Reduces inefficient health care spending.
Each year, Texas hospitals provide more than $5.5 billion in uncompensated health care services. By connecting more than a million low-wage working Texans with private health insurance, the Texas Way Program can reduce this uncompensated care burden and, as a result, help stabilize the growth in local property taxes and lower the cost of purchasing private health insurance.
Stabilize Local Property Taxes
Local property taxpayers in Texas currently pay for more than $1 billion in indigent health care services in their counties each year. Reducing the number of uninsured and indigent health care costs will alleviate some of the pressure on local property taxpayers.
Reduce the Cost of Purchasing Private Health Insurance
Part of hospitals’ uncompensated care costs is passed onto those with private health insurance in the form of higher health insurance premiums. The average premium for private health insurance in Texas is $1,800 a year higher because so many Texans are uninsured.
Reducing the number of uninsured and hospitals’ uncompensated care costs will stop the cost of health insurance premiums from increasing any faster and could put money back in the pockets of hard-working Texans.