Fostering Small Business Growth via Association Health Plans

Fostering Small Business Growth via Association Health Plans

The U.S. Chamber of Commerce's Health Policy Center recently hosted the inaugural Health Innovation Summit, bringing together top administration officials, current and former members of Congress, and industry leaders. Among the attendees was Lexi Branson, Vice President of Health Policy at the Chamber, who authored this article on the Association Health Plans Act of 2025 (S. 1847) and its House counterpart, H.R. 2528.

These bills aim to help small businesses and self-employed individuals access affordable, high-quality health insurance by expanding their ability to pool together into Association Health Plans (AHPs). By treating associations and their members as single, large group health plans under the Employee Retirement Income Security Act (ERISA), these reforms enable small employers to leverage greater bargaining power and economies of scale otherwise available only to large employers.

Key details of the bills include expanding pooling and bargaining power to negotiate lower premiums and access broader provider networks, treating associations as single large group plans for health insurance, and safeguards such as requiring associations to have existed at least two years, serve non-insurance purposes, and prohibiting discrimination based on health status or denial of coverage due to pre-existing conditions.

According to the Congressional Budget Office, these reforms could insure an additional 400,000 uninsured individuals and move over 3 million people from the individual market into association plans without increased federal spending. The bills are supported by the U.S. Chamber of Commerce as a market-based, pro-growth solution to help small employers offer competitive health benefits.

As of August 2025, both S. 1847 and H.R. 2528 are actively championed in Congress, with bipartisan backing, though the exact legislative stage or passage status is not detailed in the current information. The U.S. Chamber of Commerce's recent communications express strong support for the bills and emphasize their importance for expanding affordable coverage among America’s small businesses and self-employed workers.

The Chamber continues to advocate for policies that drive economic growth and improve the quality of life for individuals and communities across the nation. The article does not include any downloadable letters related to AHPs. The article is about Health Care and Small Business topics.

The bills build on a 2018 regulation that created AHPs by expanding which entities could establish AHPs and which individuals could join. The Chamber recently submitted responses to Requests for Information (RFIs) issued by the Department of Health and Human Services (HHS), the National Institutes of Health (NIH), and the Centers for Medicare & Medicaid Services (CMS), as part of advocating for improved access to care.

In summary, the Association Health Plans Act of 2025 and its House counterpart aim to provide affordable, high-quality health insurance for small businesses and the self-employed by enabling them to form or join larger association plans with enhanced negotiating power, thereby overcoming cost and coverage barriers typical for small employers. The U.S. Chamber is supporting these bills in Congress, as they align with the Chamber's mission to lead the Health Policy Division and champion policies that drive innovation and efficiency in healthcare.

1. The U.S. Chamber of Commerce's Health Policy Center is championing the Association Health Plans Act of 2025 and its House counterpart, which aim to expand health insurance access for small businesses and self-employed individuals.
2. These bills seek to assist small employers by enabling them to pool together into Association Health Plans (AHPs), thus leveraging bargaining power and economies of scale typically available only to larger employers.
3. Key features of the bills include expanding pooling and bargaining power, treating associations as single large group plans for health insurance, and safeguards such as a two-year existence requirement, non-insurance purpose servicing, and prohibition of discrimination based on health status or pre-existing conditions.
4. According to the Congressional Budget Office, these reforms could insure an additional 400,000 uninsured individuals and move over 3 million people from the individual market into association plans without increased federal spending.
5. The bills are backed by the U.S. Chamber of Commerce, viewing them as a market-based, pro-growth solution for helping small employers offer competitive health benefits.
6. As of August 2025, both S. 1847 and H.R. 2528 are actively supported in Congress with bipartisan backing, although their legislative stage or passage status is undetermined.
7. The U.S. Chamber of Commerce continues to advocate for policies that drive economic growth and improve the quality of life for individuals and communities, as well as championing these bills in alignment with their mission to lead the Health Policy Division.
8. These bills build on a 2018 regulation that created AHPs by broadening the entities that can establish AHPs and the individuals that can join them.
9. The U.S. Chamber of Commerce has submitted responses to Requests for Information (RFIs) issued by various departments as part of their efforts to advocate for improved access to care in health-and-wellness industries, particularly in connection with science, finance, commerce, and small-businesses.

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