WASHINGTON, DC -- Today, for the first time since 1965, the U.S. Senate passed landmark health reform, the Patient Protection and Affordable Care Act. Senator Jack Reed (D-RI), a senior member of the Health, Education, Labor and Pensions (HELP) Committee, called the bill a significant step forward.

"We are making tremendous progress towards health care reform. This vote is an important step forward. We still have work to do and I wish the bill contained a public option to increase competition, but this is a critical moment and progress is evident," said Reed.

The Senate bill will benefit all Rhode Islanders by preventing excessive rate hikes on those who already have health insurance, by providing more affordable health coverage options to those who need it, and by offering tax credits to businesses that provide their employees with health coverage.

"This legislation will help make health insurance more affordable. It will help small businesses by providing tax credits immediately if they purchase health care insurance for their employees," said Reed.

The bill also imposes tougher new rules on insurance companies, strengthens consumer protections, and improves affordability.

"One of the most significant aspects of this legislation is that it will require health care insurers for the first time to spend at least 85% of their resources on actual health care, and not on overhead, payments to themselves, or promotions. That is going to send a significant signal to the marketplace," stated Reed.

"This bill will be a tremendous help to Rhode Islanders. First, for those that have insurance it will provide greater affordability, both directly by helping with the cost of health insurance and also by providing tax credits to small businesses to provide insurance to their workers," continued Reed. "It will increase the number of participants in insurance pools which will help lower prices over time. So all of this is designed to help affordability for Rhode Islanders. And if we don't do this, within a short period of time, what is now $12,000 a year for a family plan of four will be $24,000. That is unsustainable. It also improves Medicare by eliminating the cost of preventive care and lowering the cost of prescription drugs for seniors, while extending the solvency of the program until 2027 according to the Center for Medicaid and Medicare Services."

Now that both the Senate and the U.S. House of Representatives have passed their respective versions of the bill, the legislation will be merged into a final form by a House-Senate conference committee. The final bill must then clear both the House and the Senate before it can be signed into law by President Obama.

"If we don't move on this legislation and finish it, health care costs will remain unaffordable and too many Rhode Islanders will be without health insurance when they need it most," concluded Reed.