Insurance

Latest California Healthline Stories

Could This Little-Watched Court Case Sink Obamacare?

A pair of lawsuits allege that a major part of the Affordable Care Act is technically illegal. Are these suits a real threat to the ACA, or the last gasps of conservative resistance before the law’s provisions go online? Depends whom you ask.

Assembly Takes Up Health Care ‘Loophole’

The Assembly this week is expected to debate a bill that would penalize large employers who reduce workers’ hours or wages in an attempt to move those employees off company-sponsored health care and into Medi-Cal coverage.

“We want to close that loophole that allows some of the largest and most profitable businesses in California to skirt their responsibility under the Affordable Care Act,” said Assembly member Jimmy Gomez (D-Los Angeles), author of AB 880.

Some large employers, he said, want to lower wages or hours of employees so those workers would earn a low-enough wage to become eligible for Medi-Cal, “dumping them onto the backs of the taxpayers,” Gomez said.

Exchange Premiums Closely Watched by Industry, Nation

“Everyone will be watching what goes on in California” this week, according to health insurance industry leaders. The state’s new health insurance exchange announced which insurers will offer coverage in Covered California and how much they’ll charge.

Administrative Change for High-Risk Subscribers

The Pre-Existing Condition Insurance Plan (PCIP), a federally-funded, state-run interim program, is moving from state to federal oversight for the rest of the year.

A high-risk pool for people unable to secure health care insurance under pre-Affordable Care Act rules, PCIP is temporary because the new federal reform law prohibits insurers from denying coverage based on pre-existing conditions.

Now the “state-run” part of that program is also on its way out, as California will shift control and management of the program to federal officials, according to administrators at the Managed Risk Medical Insurance Board (MRMIB), which currently runs PCIP in California.

Health Care Issues High on Latino Community Agenda

Health care was a focal point when leaders of Latino community organizations met in Sacramento last week to launch the “California Latino Agenda,” a statewide campaign to unite leadership, establish goals and lobby for policy positions.

Stop-Loss Bill Heads for Senate Floor Vote

The Senate Committee on Appropriations yesterday approved a bill to ban a certain type of selection criteria when insurers issue stop-loss health care coverage to small employers.

The bill was one of a small mountain of bills before the Appropriations committee yesterday. The policy committees have finished their legislative work for this session, and bills need to either clear Appropriations this week or be put on suspense to wait for next session. The committee yesterday put 76 proposed laws on the suspense file.

Managed Care Tax Decision Left Until New Budget Proposal Arrives

Distrust ran high yesterday during part of a budget subcommittee hearing  when the subject turned to reinstitution of a managed care organization tax.

The MCO tax instituted in 2009 had the singular distinction of being embraced by the ones being taxed because the money was matched by federal dollars and was used to support the Healthy Families program. In the long run, health insurers made their money back and the state had more federal dollars in its coffers.

The MCO tax expired in December. The Brown administration wants to keep it going with one big difference: Since the state eliminated Healthy Families, a transition that started in January and runs through the end of this year, the governor would like to put the MCO tax money into a rainy-day fund for the state.