Angelides Raises Issue of HMO Regulation
Democratic gubernatorial the nominee Phil Angelides on Thursday restated his call for increased enforcement of some HMO regulations, a move he says would help reduce premiums, the Orange County Register reports (Wisckol, Orange County Register, 9/22).
Angelides in August said Gov. Arnold Schwarzenegger (R) has not used existing state law that holds HMOs accountable when administrative costs, including profit, exceed 15% of premiums. Angelides said if elected, he will "crack down" on excessive HMO administrative costs to make health care more affordable for families and businesses.
According to Angelides, the $10 billion in HMO premiums in California that is going to overhead and profit is enough to provide health insurance for all Californians (California Healthline, 8/3).
Angelides raised the issue during a speech to members of the United Food and Commercial Workers Local 324 in Buena Park. He also addressed proposals for tuition reductions and tax cuts to families with annual incomes that do not exceed $100,000 (Orange County Register, 9/22).