South Carolina Rep. Mark Sanford is taking the lead on new legislation to repeal and replace Obamacare.
In an interview on FOX Business Networkâ€™s After the Bell, the House Freedom Caucus member said he hopes to get a new plan passed before the end of the year.
â€œThis is the companion bill to what Sen. Rand Paul has introduced on the Senate side,â€ Rep. Sanford said.
Sen. Paul, a Republican from Kentucky, has introduced an Obamacare replacement plan that eliminates the mandate and provides a tax credit of up to $5,000 per person to be used as part of a health savings account.
Sanford said having people spend their own money can impact healthcare pricing and under Obamacare, people were not paying ahead of time based on anticipated risk.
â€œWe are fundamentally changing the way you prepare for the notion of a preexisting condition and pay for it,â€ he said.
Sanford said the current system doesnâ€™t offer â€œtrue insurance,â€ which doesnâ€™t provide money into a plan that prepares you for an unwarranted health risk.
â€œInstead of people paying it [insurance] for years and then sadly, tragically they get cancer, itâ€™s the â€˜wait until they get cancerâ€™ to go on insurance so you donâ€™t have the power of compounding,â€ he said.
The House Freedom Caucus members are pushing for a swift repeal of the Affordable Care Act with almost no support from Democrats. Sanford said there is no incentive for Democrats to help the GOP come up with a suitable plan, and allowing Obamacare to fail will hurt a lot of people in the process.
â€œI think Republicans are right to say â€˜letâ€™s come up with a plan that begins to address this,â€™ though it may be painful politically,â€ Sanford said.