Mr. Bush said in his weekly radio address Saturday that rising health care costs make insurance too expensive for many Americans.
Mr. Bush said Federal tax code reform would give the public incentives to purchase health insurance. He did not provide details on exactly what the tax code changes might be.
The president also urged medical liability reform to stop what he called "junk lawsuits" against doctors that drive costs up.
Mr. Bush also said he would support governors who are working to reduce the cost of health insurance.
Earlier this month, California Governor Arnold Schwarzenegger announced a plan requiring all of the state's citizens to have health insurance. His plan would require businesses to provide insurance for employees or pay into a state fund.
California has the largest population of any U.S. state.
