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Tag: health care

State Takes Over Failed Metairie-Based Health Care Cooperative

Louisiana Insurance Commissioner Jim Donelon is taking control of a failed insurance cooperative created in response to the Affordable Care Act.

Louisiana Health Cooperative, a not-for-profit insurance company created with $56 million in federal loans made possible through the federal health care law, announced in July it would discontinue all policies in January 2016.

Donelon has secured an order from the 19th Judicial District Court that grants him the right to take full possession and control of the company.

In a statement sent to media Tuesday (Sept. 1), Donelon called the move “in the best interests of its policyholders and providers, as well as taxpayers.”

State law authorizes Louisiana’s insurance commissioner to petition the court to take control of an insurer when certain conditions are met, including “when an insurer is found to be in such condition that its further transaction of business would be hazardous to its policyholders, its creditors or the public.”

Under the court’s rehabilitation order, the commissioner is expected to appoint a “receiver” to take possession and control of all of the organization’s property and assets. Court filings show that role will be filled by Billy Bostick, a CPA and consultant who has led previous receiverships for the Department of Insurance.

Louisiana Health Cooperative had 17,000 customers when it announced it would be shutting down operations, according to figures from the Department of Insurance.

Donelon’s office said the state’s take-over of the company’s affairs should not affect policyholders, saying they should approach the matter as “business as usual.”

“They should continue to pay premiums in the same manner, schedule doctors appointments and be assured that their policies will be honored,” a media statement from Donelon’s office said. “No one’s health insurance policy will be canceled.”

Louisiana Health Cooperative was formed in 2011 by a core of people closely affiliated with Ochsner Health System. Its board at one point included four Ochsner executives, including CEO Warner Thomas.

For the full article, click here.

Contact Steven G. Cosby, MHSA, Group Health Insurance Broker and Agent with Cosby Insurance Group, with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

Cosby Insurance Group Warrenton Health Insurance Broker and Agent

President Obama Will Veto the 40 hours change to ACA

Obama Threatens Veto of Increase of Hours in Health Care Law

The White House says President Barack Obama will veto legislation that would increase his health care law’s definition of a full-time worker from 30 to 40 hours per week.

Republicans say the health law’s 30-hour requirement is encouraging companies to cut workers’ hours. The White House said in statement Wednesday there is no evidence the law has caused a broad shift to part-time work.

The House plans to debate the measure this week as one of its first orders of business in the new Congress.

The White House argues the bill would reduce the number of Americans with employer-based health insurance coverage and create incentives for employers to shift employees to part-time work. The White House says the bill would also increase the deficit by $45.7 billion over 10 years.

Source: http://abcnews.go.com/Politics/wireStory/obama-threatens-veto-increase-hours-health-care-law-28058327

In U.S., Uninsured Rate Lowest Since 2008

In the U.S., the uninsured rate dipped to 15.6% in the first quarter of 2014, a 1.5-percentage-point decline from the fourth quarter of 2013. The uninsured rate is now at the lowest level recorded since late 2008.

The uninsured rate has been falling since the fourth quarter of 2013, after hitting an all-time high of 18.0% in the third quarter — a sign that the Affordable Care Act, commonly referred to as “Obamacare,” appears to be accomplishing its goal of increasing the percentage of Americans with health insurance coverage. Even within this year’s first quarter, the uninsured rate fell consistently, from 16.2% in January to 15.6% in February to 15.0% in March. And within March, the rate dropped more than a point, from 15.8% in the first half of the month to 14.7% in the second half — indicating that enrollment through the healthcare exchanges increased as the March 31 deadline approached.

The results from the first quarter are based on more than 43,500 interviews with U.S. adults from Jan. 2 to March 31, 2014, as part of the Gallup-Healthways Well-Being Index.

Fewer Americans Across Age Groups Uninsured in 2014

The Obama administration has made young adults’ enrollment in a health insurance plan a top priority, as healthcare experts say 40% of new enrollees must be young and healthy for the Affordable Care Act to be successful. However, Gallup’s quarterly trends indicate the uninsured rate dropped by about the same amount among adults aged 26 to 64 as it did among those aged 18 to 25 — two points. The uninsured rate among 18- to 35-year-olds fell to 21.7% in the first quarter; the rate fell to 26.4% among those aged 26 to 34, and to 16.1% among those aged 35 to 64.

Read the full report here.

Contact Steven Cosby with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

Healthcare Roll Out: Effects Will Depend On Your State

People living in states that back the Affordable Care Act will get substantial help unavailable to those in states that are fighting it. The law kicks in next month.

Colorado residents shopping for health insurance next year will be able to compare health plans using a star system that ranks insurance companies on quality.

In Oregon and Maryland, consumers will save as much as 30% on some plans after state regulators forced insurers to lower 2014 premiums. Californians will get extra help selecting a health plan next year from a small army of community workers paid in part by foundations and the state.

As President Obama’s healthcare law rolls out next month, even supporters acknowledge there will be problems. But Americans who live in states backing the Affordable Care Act will receive substantial protections and assistance unavailable to residents in states still fighting the 2010 law. That could mean confusion and higher insurance premiums for millions of consumers in states resisting the law.

Leaders in these resistant states have not set up consumer hot lines. Several state insurance regulators are refusing to make sure health plans offer new protections required by the law, such as guaranteed coverage for people who are ill. In response to the law, Florida suspended its authority to review how much insurance companies charge consumers.

“I would certainly rather be in a state that is trying than in one that is not,” said Alan Weil, executive director of the National Academy for State Heath Policy. “There are going to be some big differences.”

The Affordable Care Act was supposed to smooth out disparities in insurance coverage and healthcare quality between states, providing all Americans with a basic level of protection.

The law will still make some benefits available everywhere. Starting next year, all insurance plans will be prohibited from rejecting consumers who are sick. Plans cannot put annual or lifetime limits on what they cover. For the first time, all plans will have to provide a standardized set of health benefits.

Click  here to read full article from Noam Levey, LA Times.

UPS Won’t Insure Spouses Of Many Employees

UPS will follow thousands of other companies this fall in ending health insurance coverage of employees’ spouses if they can get coverage elsewhere.

Partly blaming the health law, United Parcel Service is set to remove thousands of spouses from its medical plan because they are eligible for coverage elsewhere.

Many analysts downplay the Affordable Care Act’s effect on companies such as UPS, noting that the move is part of a long-term trend of shrinking corporate medical benefits. But the shipping giant repeatedly cites the act to explain the decision, adding fuel to the debate over whether it erodes traditional employer coverage.

Click here to read full article.