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Health care cover mandate needs exemptions: Obama

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WASHINGTON—As two Senate committees near release of comprehensive health care reform legislation, President Obama has provided new clues about where he stands on several key reform ideas.

In a letter sent Tuesday to Sen. Max Baucus, D-Mont., the chairman of the Finance Committee, and Sen. Edward Kennedy, D-Mass., the chairman of the Health, Education, Labor and Pensions Committee, President Obama wrote that if the committees decide to require employers to provide health insurance coverage, such a mandate should not apply to small employers.

“While I believe that employers have a responsibility to support health insurance for their employees, small businesses face a number of special challenges in affording health benefits and should be exempted,” President Obama wrote.

In addition, if the committees mandate that individuals must have health insurance coverage, hardship waivers should be provided to those who cannot afford the coverage, according to the president’s letter.

While employees and others should be allowed to retain existing coverage, President Obama said a health insurance exchange should be established where individuals could shop for coverage.

The president also said he would support establishing a public health insurance plan that would operate alongside private plans. That would give individuals “a better range of choices, make the health care market more competitive, and keep insurance companies honest,” he wrote.

President Obama’s comments came as the two Senate committees are in the final stages of drafting reform legislation with formal consideration of specific proposals expected by about mid-June.

Sen. Baucus has said that when the two committees complete action, their bills would be merged into one bill to be considered by the full Senate.