Health Plans
Assembly member Mervyn Dymally (D-Compton) introduced AB 1, a measure that would expand health insurance coverage for children in California. The legislation would broaden eligibility for Healthy Families to include children from households with annual incomes that do not exceed 300% of the federal poverty level, or $60,000 for a family of four. It also would create the California Healthy Children Insurance Program by merging the expanded Healthy Families with the segment of Medi-Cal that provides coverage to children. The Managed Risk Medical Insurance Board would be required to administer pilot projects intended to increase health insurance enrollment for children from families whose annual incomes exceed 300% of the poverty level.
Dymally also introduced AB 2, which would extend until July 2008 the Major Risk Medical Insurance Program. The program provides insurance to individuals who have been rejected for coverage by at least one private insurer. The measure would on or after July 2008 create a contribution program requiring health care service plans and health insurers to contribute their market share of the MRMIP's costs by either becoming a participating health plan or paying a fee. The bill also would change the eligibility requirement from rejection by one private insurer to rejection by two private insurers.
AB 12, legislation that would establish the Adult Health Coverage Expansion Program to provide health care coverage to eligible employees of participating small businesses, was introduced by Assembly member Jim Beall (D-San Jose). The program would be administered by a county or a local initiative electing to participate in the program. The measure was introduced Dec. 4. Funding for the program would come from employer contributions, employee premiums, and state, local, or federal funding made available for the program.
Sen. Abel Maldonado (R-San Luis Obispo) introduced SB 25, a measure that would authorize a deduction in health savings accounts, equal to the aggregate amount paid in cash during the taxable year by, or on behalf of, eligible individual members. The measure would immediately take effect as a tax increase.