Morning Breakouts

Latest California Healthline Stories

Anthem Slashes Planned Rate Hikes, Delays Date for Other Increases

Anthem Blue Cross has announced it will reduce its planned health insurance rate increase and will put off hikes to copayments and deductibles until next year. Anthem’s adjustments could save more than 600,000 California policyholders about $40 million. Sacramento Business Journal et al.

Democratic Lawmakers, Brown Press for Action on State Budget

Democratic lawmakers say they are determined to pass more budget bills and take action on the tax extension issue. Meanwhile, Gov. Brown has turned to YouTube to drum up voter support for a June special election. Sacramento Bee‘s “Capitol Alert” et al.

Lawsuit Claims CalPERS Members Overpaid for Prescription Medication

California state workers and retirees paid excessive prices for medication bought through the drug benefits company Medco, according to a lawsuit. The lawsuit follows CalPERS’ recent decision not to renew its contract with Medco. Sacramento Business Journal et al.

Brand-Name Drug Prices Up Despite Efforts To Curb Costs

Prices of brand-name drugs increased by 6.9% on average in 2010, the largest increase in more than a decade, and continue to increase despite attempts by the federal government and private health plans to limit drug spending. The price increases could be a result of the drug industry trying to counter government efforts to curb drug spending and to offset declining revenue from blockbuster drugs set to lose patent protection. However, drugmakers say the price increases are misleading because they do not factor in the rebates that health plans and the federal government negotiate with pharmaceutical companies. Wall Street Journal.

Republicans Reiterate Opposition to Governor’s Tax Extension Plan

During the California Republican Party convention over the weekend, GOP lawmakers voted to oppose a proposal to extend certain taxes. Gov. Brown’s budget plan included temporary tax extensions to address the budget gap. Sacramento Bee‘s “Capitol Alert” et al.

State Dept. of Insurance Joins Kickbacks Lawsuit Against Drug Company

The California Department of Insurance has joined a lawsuit against pharmaceutical company Bristol-Myers Squibb. The lawsuit claims BMS bribed physicians to prescribe its drugs by offering various incentives, including sporting event tickets. AP/Fresno Bee et al.

Sutter Health Donates $500K to Relief Efforts in Japan

On Friday, Sacramento-based Sutter Health announced that it has donated $500,000 to the American Red Cross to support relief efforts in Japan, following the recent earthquake and tsunami. Sutter Health President and CEO Pat Fry said that supporting relief efforts “is a natural extension of our not-for-profit mission.” San Francisco Business Times, Sacramento Bee.

Rep. Miller Stumps for Reform Law, Criticizes Repeal Efforts

In a Contra Costa Times opinion piece, Rep. George Miller — who co-authored the Affordable Care Act as chair of the House Education and Labor Committee last year — highlighted the ways the health reform law has benefited consumers and small businesses and criticized GOP-led efforts to repeal the law. He concludes, “We can’t afford to put nameless insurance company bureaucrats back in charge. The Affordable Care Act is good for our economy, seniors and small businesses.” Contra Costa Times.

Study: Enrollment in Medicaid To Outpace Primary Care Doctors

A new study finds that the increase in Medicaid enrollment will outpace the growth of the primary care physician population available to treat beneficiaries. According to the study, the disparity will be greatest in the southern and mountain west regions. HealthLeaders Media.

S.F. Community Clinics Struggle With Funding Cuts

Funding cuts have led to a series of closures, near-closures and mergers at San Francisco community clinics in recent months. For example, New Leaf — a community clinic that served lesbian, gay, bisexual and transgender residents — closed in October 2010 because of increased rent and health care costs. Meanwhile, Haight Ashbury Free Clinics, which faced cuts in city funding, agreed to merge with Walden House, a residential and outpatient substance misuse and mental health program. At the same time, demand for community health clinic services is rising because of an increasing number of uninsured residents. San Francisco Chronicle.