Hon. Richard Armey
House Majority Leader
U.S. House of Representatives
Washington, D.C. 20510

Dear Congressman Armey:

We applaud your commitment to the Uninsured, demonstrated through consistent, bipartisan activity to make the Uninsured problem a high priority for this Congress. We again thank you and your staff for sponsoring the eHealthInsurance briefing on the Uninsured last December, and now for introducing a bill dedicated to the Uninsured.

In particular, we publicly express our support for the tax credit provision of the bipartisan Fair Care for the Uninsured Act of 2001, co-sponsored with Congressman Lipinski. The experience of thousands of eHealthInsurance customers demonstrates that the Act contains a substantive tax credit provision. In analyzing a sample of the most recent 20,000 approved health insurance applications through eHealthInsurance, we conclude:

1) The tax credit amounts can cover a meaningful portion of insurance premiums: Out of the 20,000 approved single and family applications, 15,000 fall within 75 percent to 100 percent of proposed tax credit amounts.

2) The tax credit amounts can purchase benefit coverage that is meaningful: Although we cannot comment on what constitutes adequate or sufficient benefits, we do note that the benefits are meaningful enough to attract market-purchasing behavior. Of the 20,000 applications, 93 percent purchased either an HMO or PPO product. Of the HMO products purchased, 80 percent contained a $0 deductible. Of the PPO products purchased, 71 percent had less than a $1000 deductible.

3) The tax credits will be relevant to a broad population (if within the income limits): The 20,000 applications were submitted and approved across 40 different states, representing 93 percent of the U.S. population. The ages of people included the full pre-Medicare range from age 1 to age 64.

As you know, eHealthInsurance markets and sells health insurance from a broad selection of health insurance companies nationwide at the best available prices. Since 1997, the reach of the Internet has allowed eHealthInsurance to become America's leading distributor of health insurance to individuals and families, online or offline, and one of only a few companies that sells health insurance to individuals and small businesses nationwide.

Over 40 percent of those who have applied for health insurance through eHealthInsurance.com were previously uninsured. With steps by the government, such as this tax credit, to make health insurance more affordable and accessible, we can together achieve the realizable goal of reducing the Uninsured in half by the year 2010.

Sincerely,