Health Care Costs

Massachusetts must decrease health-care costs so that the commonwealth no longer has the highest per-capita health-care expenditures in the country.


The financial stability of our state and local governments is threatened as health costs crowd out important priorities such as education, public safety, the judiciary and transportation. The road to cost reduction will involve addressing the excessive market power held by certain large providers and giving consumers better information upon which to make health-care decisions.

Policy Watch

Ending the Burdensome MassHealth Assessment

Repeal the so-called EMAC Supplement tax, effective January 1, 2019, and return the tax to its previous rate (.34% or max $51/employee annually). The 4,000 member employers of Associated Industries of Massachusetts (AIM) believe that any assessment on employers to close the gap in MassHealth must be accompanied by structural reforms.

Limiting the Growth of Medical Spending

Control the cost of health care and health insurance by limiting the growth of medical spending to the state's 3.6 percent benchmark.

Stopping Expensive Health-Insurance Mandates

Impose a moratorium on new health care mandates and by repealing the so-called “fifty plus” report.

Requiring Premium-Impact Statements

Control the cost of health insurance by requiring that, prior to the adoption, amendment or repeal of any health-care or health-insurance related regulation, an agency must file with the Secretary of State a public notice of the proposed action and include a premium-impact statement. Mandate that any agency considering such adoption, amendment or repeal hold a hearing to allow the public to present data, views or arguments relative to the agency’s premium-impact statement and, prior to adopting the proposed regulation, the agency file an amended premium-impact statement with the Secretary of State.

Limiting Unnecessary Emergency Room Visits

As a leader of the Massachusetts Employer Health Coalition, AIM is working with employers, employees, doctors, hospitals, and health insurers to reduce inappropriate use of emergency departments by 20 percent in two years. State officials estimate that a significant number of ER visits are potentially avoidable, a pattern that costs $300-$350 million annually for commercially insured members.

"AIM’s Health Care Cost and Policy Committee was established to address the most pressing cost issue facing Massachusetts employers."

— Brooke Thomson
Executive Vice President of Government Affairs - AIM

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