WASHINGTON, Feb. 15, 2017 /PRNewswire-USNewswire/ -- AARP today launched a campaign against the "age tax," a proposed unfair penalty on older adults that would line the pockets of big insurance companies, allowing them to charge older Americans over $3,000 more than they currently pay per year. AARP launched a new series of advertising that will also appear in numerous Congressional districts when members of Congress return home for President's Day week.
"AARP urges Congress and the administration to reject the proposed 'age tax' bill," said AARP Executive Vice President Nancy LeaMond. "This so called "age rating" proposal is Washington speak for an unfair tax increase that only helps insurance companies. AARP will fight to hold our elected officials accountable for taxing older American families with a burden they don't deserve and can't afford."
In its current form, the age tax legislation, HR 708, would penalize middle class American families by changing current law to allow health insurance companies to charge older Americans up to five times more in insurance premiums than other people, a large increase from current law which already allows companies to charge three times more. This proposal would have a severe impact on Americans aged 50-64 who have not yet become eligible for Medicare, and who may also have children under age 26 on their health insurance plans.
A report released by AARP's Public Policy Institute, Impact of Changing the Age Rating Limit for Health Insurance Premiums, also more specifically shows that changing the 3:1 limit on age rating to 5:1 would significantly raise premiums by as much as $3200 for older adults.
AARP's latest efforts come in addition to their continued advocacy of members of Congress and the Trump administration about the age tax. AARP continues to meet with members of Congress and urge them to oppose the age tax, laying out in detail the negative impact in letters this month and in December. The ads also come as an addition to AARP's Medicare campaign, which takes on "premium support," a proposal that would harm Medicare beneficiaries by turning the successful program into a private voucher program.
AARP is a nonprofit, nonpartisan organization, with a membership of nearly 38 million that helps people turn their goals and dreams into 'Real Possibilities' by changing the way America defines aging. With staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands, AARP works to strengthen communities and promote the issues that matter most to families such as healthcare security, financial security and personal fulfillment. AARP also advocates for individuals in the marketplace by selecting products and services of high quality and value to carry the AARP name. As a trusted source for news and information, AARP produces the world's largest circulation magazine, AARP The Magazine and AARP Bulletin. AARP does not endorse candidates for public office or make contributions to political campaigns or candidates. To learn more, visit www.aarp.org or follow @aarp and our CEO @JoAnn_Jenkins on Twitter.