"I am writing on behalf of the American Insurance Association (AIA), which represents major property and casualty insurers in the U.S., to express our opposition to H.R. 1304, the Quality Health-Care Coalition Act. AIA member companies write over $29 billion in workers' compensation and auto premiums each year as well as other lines of property/casualty insurance. By exempting health care professionals from antitrust laws, H.R. 1304 will reduce competition, lead to higher health care costs and increases in insurance premiums for businesses and individuals.

"It is important that Congress recognize that increased health care costs are not borne just by the health care system. Health care costs make up a significant portion of property/casualty insurance premiums. For example, health care costs comprise an estimated 20 percent of personal auto insurance losses and on average 47 percent of workers compensation claims. In 1998, health care expenditures for losses under auto and workers' compensation policies were over $26 billion. Therefore, the increases in health costs due to the enactment of H.R. 1304 will be reflected in workers' compensation claims and the health care payments under auto insurance claims. This ultimately leads to increases in the price employers pay for workers' compensation insurance and that consumers pay for automobile insurance…