Morning Breakouts

Latest California Healthline Stories

Blue Shield of California First in State To Open Retail Store

On Monday, Blue Shield of California opened a 500 square-foot store within the Lucky Supermarket in San Francisco to attract new customers and better serve existing members. Blue Shield will use the retail space to sell insurance and answer members’ questions about bills or coverage. In addition, the insurer will offer a range of services, such as blood pressure screenings and consultations with a registered nurse. HealthLeaders Media, San Francisco Chronicle.

Report Identifies Challenges Associated With Creating ACOs

A recent report finds that California physicians and health insurers are collaborating to develop accountable care organizations. However, challenges exist, such as ensuring prompt data exchange. Fierce Healthcare, Cardiovascular Business.

Some States Offer CHIP for Kids of Low-Income Workers

The children of low-income state employees in at least five states can enroll in the Children’s Health Insurance Program under a policy change in the federal health reform law. CMS has approved the policy change for Alabama, Kentucky, Montana, Pennsylvania and Texas, while Georgia is awaiting federal approval. The federal government previously blocked the option because of concerns that it would spur some states to shift their employees’ health benefits to the government. Under the policy change, states seeking federal approval to open CHIP enrollment to their employees must prove that they have not reduced their share of employees’ health insurance costs and that the cost of private insurance poses financial difficulties for the families. Kaiser Health News/Washington Post.

Kaiser’s Not-for-Profit Units Report Q3 Net Loss of $45M

Last week, Kaiser Foundation Hospitals, Kaiser Foundation Health Plan and their subsidiaries announced a third-quarter 2011 net loss of $45 million on $11.9 billion in revenue, compared with a $634 million profit on $11.1 billion in revenue for the third quarter of 2010. Meanwhile, Kaiser’s operating income dropped, albeit less sharply, from $366 million in Q3 2010 to $320 million in Q3 2011. Sacramento Business Journal, San Francisco Business Times.

Legislation Would Allow USPS To Renegotiate Health Plans

Last week, a bipartisan group of senators introduced a bill that would allow the U.S. Postal Service to renegotiate health care benefits with its employees. The bill would eliminate a 10-year payment schedule for an annual $5.5 billion payment for future retiree medical costs. Instead, the payments would be spread over 40 years, significantly reducing annual financial obligations. House Republicans oppose the bill and regard any refunding of USPS with money from federal retirement or health care accounts as a taxpayer-funded bailout. Washington Post.

Romney Unveils Medicare Overhaul Plan To Lower Debt

On Friday, Republican presidential candidate Mitt Romney unveiled a proposal to overhaul Medicare that observers note resembles a plan in House Budget Committee Chair Paul Ryan’s fiscal year 2012 budget blueprint. Romney said his plan would give beneficiaries the option to stay in the Medicare program or enroll in private health plans using a “premium support system.” Ryan’s plan would have altered Medicare from a fee-for-service program to one that would have beneficiaries purchase coverage on the private market. Romney said his plan would gradually raise the Medicare eligibility age and would not affect current beneficiaries or those approaching retirement. New York Times, Washington Post.

Debt Panel Urged To Maintain Tax Exemption for Job-Based Coverage

A bipartisan group of 160 House lawmakers has asked the debt panel to reject any proposals to limit or end the tax exemption for job-based health coverage. The group said such proposals would amount to a tax on middle-income residents. The Hill‘s “Healthwatch,” CQ HealthBeat.

FDA To Launch Anti-Smoking Campaign by September 2012

By September 2012, FDA will launch a series of multimedia campaigns to educate the public about the dangers of smoking as part of a five-year, $600 million initiative to reduce the national smoking rate. FDA officials note that although the rate has dropped from nearly 40% in the 1970s to about 20% in 2004, it has remained stagnant since then. The initiative will coincide with the launch of new graphic warning labels on cigarette packages that depict the health risks associated with tobacco consumption. The campaigns will be funded with user fees generated under a 2009 law that gave FDA new regulatory powers over the tobacco industry. AP/San Francisco Chronicle.

UCLA Health System Notifies 16,000 Patients of Stolen Hard Drive

UCLA Health System officials have alerted about 16,000 patients that an external hard drive containing personal data was stolen from a physician’s home. The hard drive’s information was encrypted, but a piece of paper with the password also is missing. Los Angeles Times et al.

Report: Outreach for Reform Should Target Underserved

A report says that the state’s Health Benefit Exchange board should reach out to minority and underserved populations who could benefit most from the online health plan marketplace but have lower rates of Internet access. Asian Journal, New America Media.