Basic Health Program: Good or Bad Idea for California?

The Affordable Care Act gives states the option of creating state-run public insurance — known as a Basic Health Program or Basic Health Plan — for low-income people who aren’t eligible for Medicaid and are not covered by an employer-sponsored plan.

The California Legislature is considering a proposal to create a Basic Health Program in California. SB 703Â by Ed HernandezÂ (D-West Covina) would create low-cost health insurance for as many as one million Californians who otherwise might not qualify for subsidized coverage.

Proponents say that it’s the right thing to do and that the federal subsidies being offered are too good to pass up.

Opponents say creating a separate program would undermine the new California Health Benefit Exchange. We asked stakeholders and experts: What should California do?Â

We got responses from:

KFF Health News is a national newsroom that produces in-depth journalism about health issues and is one of the core operating programs at KFF—an independent source of health policy research, polling, and journalism. Learn more about KFF.

<h1>Basic Health Program: Good or Bad Idea for California?</h1>
<div>		<time class="posted-on" datetime="2012-05-21T00:00:00-07:00">
			May 21, 2012		</time>
		</div>
<p>The Affordable Care Act gives states the option of creating state-run public insurance — known as a Basic Health Program or Basic Health Plan — for low-income people who aren’t eligible for Medicaid and are not covered by an employer-sponsored plan.</p><p>The California Legislature is considering a proposal to create a Basic Health Program in California. <a href="http://www.leginfo.ca.gov/pub/11-12/bill/sen/sb_0701-0750/sb_703_bill_20110712_amended_asm_v94.html">SB 703</a>Â by Ed HernandezÂ (D-West Covina) would create low-cost health insurance for as many as one million Californians who otherwise might not qualify for subsidized coverage.</p><p>Proponents say that it’s the right thing to do and that the federal subsidies being offered are too good to pass up.</p><p>Opponents say creating a separate program would undermine the new California Health Benefit Exchange. We asked stakeholders and experts: What should California do?Â  </p><p>We got responses from:</p><em><a href="https://kffhealthnews.org/about-us">KFF Health News</a> is a national newsroom that produces in-depth journalism about health issues and is one of the core operating programs at KFF—an independent source of health policy research, polling, and journalism. Learn more about <a href="https://www.kff.org/about-us">KFF</a>.</em><p><a href="https://californiahealthline.org/morning-briefing/">Subscribe</a> to KFF Health News' free Morning Briefing.</p>

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