To expand the availability of health savings accounts, to eliminate restrictions on the deduction for medical expenses, and to provide for cooperative governing of individual health insurance coverage offered in interstate commerce.

Amends the Internal Revenue Code to revise provisions related to health savings accounts, including to: (1) adjust the amount allowable as a deduction for health savings accounts; and (2) eliminate the restriction on purchasing health insurance from a health savings account.

Eliminates the gross income percentage limitation on the tax deduction for medical expenses.

Amends the Public Health Service Act to provide that the laws of the state designated by a health insurance issuer (primary state) shall apply to individual health insurance coverage offered by that issuer in the primary state and in any other state (secondary state), but only if the coverage and issuer comply with the conditions of this Act.

Exempts issuers from any secondary state's laws that would prohibit or regulate the operation of the issuer in such state, subject to certain restrictions imposed by such state.

Requires each issuer issuing individual health insurance coverage in both primary and secondary states to submit to the insurance commissioners of such states: (1) a copy of the plan of operation or feasibility study; (2) written notice of any change in its designation of its primary state and of its compliance with all the laws of the primary state; and (3) a quarterly financial statement.

Prohibits an issuer from offering, selling, or issuing individual health insurance coverage in a secondary state if the state insurance commissioner does not use a risk-based capital formula for the determination of capital and surplus requirements for all issuers.

Gives sole jurisdiction to the primary state to enforce the primary state's covered laws in the primary state and any secondary state.