Focus on Prohibitive Health-Care Costs

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Because the Democrats aren't onboard, AHPs probably won't be part of any bill this year. Relief is coming, though. Both sides want tax credits and will speed full deductibility of health-care expenses for small businesses (now scheduled for 2003). Extending a pilot program for medical savings accounts looks certain. MSAs allow small-business employees to set aside pretax dollars for medical care. Any relief along those lines would be welcome. But tax credits and deductions don't go far enough. Small companies need the same clout as large ones. Only through AHPs will they get bargaining power and be able to drive down costs at the root--the amount they pay insurance providers. Now that's a solution.