The good news: Three-quarters of people who were eligible for the most generous financial subsidies on the federal health insurance exchange this year signed up for coverage, according to a new analysis by Avalere Health.
The puzzler: Enrollment dropped off substantially for people with only slightly higher incomes who would also have qualified for significant subsidies.
Stiffer penalties for not having coverage and redoubled efforts to reach out and educate people about the health law and their obligations may be keys to increasing enrollment for people in these income groups, says Caroline Pearson, a senior vice president at Avalere Health.
Subsidies alone aren’t enough, she says.
“The carrots as a standalone don’t work,” Pearson says, referring to subsidies that are available to make coverage more affordable for people with incomes between 100 and 400 percent of the federal poverty level. “You have to make people aware of the mandate, and as the mandate penalties increase that will strengthen the effect.”
Unless they qualify for an exemption, most people are required by the law to have health insurance or face fines. The penalty for not having health insurance in 2014 was the greater of $95 or 1 percent of annual income.
On Thursday, a new report out from the Commonwealth Fund finds the health insurance industry is doing just fine, thank you very much.
That’s contrary to the deep-seated fears of some as the Affordable Care Act launched back in 2010. But with three years’ worth of data on the books now, and insurers’ stock prices soaring, those fears have faded.
Former House Speaker Newt Gingrich doesn’t think Obamacare should be repealed, and congressional Republicans who say they want to repeal it really don’t want to either, he told a Washington, D.C. health conference Wednesday.
Instead, he thinks more minor parts of the law that aren’t working will be addressed because the core parts of the law have broader support than is often acknowledged.
To mark the 5th anniversary of the signing of the Affordable Care Act, Washington State Congresswoman Cathy McMorris Rodgers, a Republican, asked her Facebook followers to share with her their Obamacare nightmare stories.
She didn’t get the response she was expecting. Most responders are giving it a big “thumbs up.”
Got a high-deductible health plan? The kind that doesn’t pay most medical bills until they exceed several thousand dollars? You’re a foot soldier who’s been drafted in the war against high health costs.
Companies that switch workers into high-deductible plans can reap enormous savings, consultants will tell you — and not just by making employees pay more.
Total costs paid by everybody — employer, employee and insurance company — tend to fall in the first year or rise more slowly when consumers have more at stake at the health-care checkout counter whether or not they’re making medically wise choices.
Consumers with high deductibles sometimes skip procedures, think harder about getting treatment and shop for lower prices when they do seek care.
What nobody knows is whether low-cost, high-deductible plans will backfire, resulting in higher costs later on.
What nobody knows is whether such plans, also sold to individuals and families through the health law’s online exchanges, will backfire. If people choose not to have important preventive care and end up needing an expensive hospital stay years later as a result, everybody is worse off.
A new study delivers cautiously optimistic results for employers and policymakers, if not for consumers paying a higher share of their own health care costs. Continue reading →
Don’t miss the chance to enroll in health coverage for 2015 if you owe the fee.
The Health Insurance Marketplace is providing individuals and families who owe the fee when they file their 2014 taxes with one last chance to get covered for 2015.
This is too important to put off. If you don’t have coverage for the remainder of 2015 you’ll risk having to pay the fee again next year for the portion of the year you don’t have coverage. The fee for people who don’t have coverage increases in 2015. If you don’t have health coverage for 2015,the fee is $325 per person or 2% of your household income – whichever is higher.
Millions of people have already signed up for 2015 coverage, and . . .
. . . 8 out of 10 who enroll are getting financial help.
We hope you take advantage of this extended opportunity to get quality coverage this year.
The federal-state Children’s Health Insurance Program (CHIP) will run out of money on Sept. 30.
Until recently, Congress showed little interest in paying for it. But this week, the House agreed on a bill that would continue the $13 billion program in its current form through 2017.
In late February, Republicans in both houses issued a “discussion draft” outlining modifications they claimed would make the program more flexible for states, even though most governors say they don’t want any changes to what they consider a near-perfect health care program.
Most governors say they don’t want any changes to what they consider a near-perfect health care program.
The GOP proposal would have narrowed coverage to the lowest-income families currently served by CHIP and allowed states to cut back enrollment.
If CHIP is not renewed, advocates say more than 2 million of the 8 million kids currently covered by the program could wind up uninsured. Continue reading →
There has been much hand wringing over the health law requirement that large employers this year offer insurance to workers who put in 30 or more hours a week or face penalties for not doing so.
The new rules would cost employers a bundle, some fretted, as part-timers clamored for company coverage previously unavailable to them. Others worried that employers would cut workers’ hours to get under the cap.
Average enrollment in company plans was essentially unchanged between 2014 and 2015 at 74 percent of all workers.
A new study found that so far there’s little cause for concern: Average enrollment in company plans was essentially unchanged between 2014 and 2015 at 74 percent of all workers.
The survey of nearly 600 employers by benefits consultant Mercer found that in 2015 the average percentage of employees who were eligible for coverage increased 1 point to 88 percent, but it was offset by a drop in the enrollment of eligible workers of 1 point on average, to 83 percent.
Part of the explanation for the stable results stems from the fact that most employers were already in compliance, says Beth Umland, Mercer’s director of research for health and benefits. Continue reading →
The average monthly premium of a the lowest cost “Silver” plan in Washington state offered through the health insurance exchange created by the Affordable Care Act fell from $269 in 2014 to $237 in 2015, according to a new study by the Robert Wood Johnson Foundation, a 12.0 percent decline.
In Seattle, the price of the average monthly premium fell even more from $267 to $233, a 12.2 percent decline.
The averages were calculated for the premiums on lowest cost Silver plans offered to a 40-year-old non-smoker.
Silver plans are designed to cover 70 percent of the cost of essential health benefits with the patient pays 30 percent.
About 87 percent of people obtaining insurance through the exchanges receive subsidies to help cover the cost of premiums.
With a decision due by summer in a Supreme Court case that could unravel President Barack Obama’s health care law, a new poll finds many Americans have heard nothing about the case. But when the potential fallout is explained, most say it would hurt the country and they would look to Congress or the states to fix it.
California tax authorities have stripped Blue Shield of California, the state’s third largest insurer, of its tax-exempt status in California and ordered the firm to file returns dating to 2013, potentially costing the company tens of millions of dollars.
At issue in the unusual case is whether the company is doing anything different from its for-profit competitors to warrant its tax break. As a nonprofit company, Blue Shield is expected to work for the public good in exchange for the exemption from state taxes.
The Special Enrollment opportunity runs from March 15 through April 30, 2015.
Open enrollment for 2015 is over. But if you owe a fee on your taxes for not having health coverage in 2014 and don’t yet have health coverage for 2015, you may still be able to get coverage for 2015.
In 2015, the fee for not having health coverage increases to $325 per person – or 2% of your household income – whichever is higher.
This fee generally applies if you can afford to have health coverage but choose to remain uninsured – although you may not have to pay the fee if you qualify for an exemption.
If you don’t have coverage for the remainder of 2015 you’ll risk having to pay the fee again next year for the portion of the year you don’t have coverage.
The good news is that the Health Insurance Marketplace is providing individuals and families who are subject to the fee when they file their 2014 taxes with one last chance to get covered for 2015. In order to take advantage of this Special Enrollment Period, you must meet all of the following requirements: Continue reading →
A total of 16.4 million non-elderly adults have gained health insurance coverage since the Affordable Care Act became law five years ago this month – a “historic” reduction in the number of uninsured, the Department of Health and Human Services said Monday.
Those gaining insurance since 2010 include 2.3 million young adults aged 18 to 26 who were able to remain on their parents’ health insurance plus another 14.1 million adults who obtained coverage through expansions of the Medicaid program, new marketplace coverage and other sources, according to HHS’ report .
The percentage of people without coverage has dropped by about a third since 2012: from 20.3% to 13.2%.
Officials say the percentage of people without coverage has dropped by about a third since 2012: from 20.3 percent to 13.2 percent in the first quarter of 2015. Continue reading →
Too many consumers have learned the hard way that their credit rating can be tarnished by medical bills they may not owe or when disputes delay insurer payment.
That should change under a new policy agreed to this week by the three major credit reporting agencies.
The agencies say they will establish a 180-day waiting period before medical debt is added to someone’s credit report. In addition, the agencies agreed that when an insurer pays a bill, the debt will be promptly removed from the consumer’s credit report, unlike certain debts that remain for years.
Agencies say they will establish a 180-day waiting period before medical debt is added to someone’s credit report.
The changes are part of a settlement between the credit rating agencies — Equifax, Experian and TransUnion – and the New York Attorney General’s office that aims to improve accuracy and enhance procedures for disputing credit report errors. The agreement covers consumers across the country.
The three agencies gather information from banks and collection agencies about consumers’ credit — such as payment history and how much someone owes — to create a credit score for about 200 million individuals throughout the country. A person’s credit score is used as a measure of credit-worthiness, and it can influence people’s ability to get loans and the interest rates they’re charged, among other things.
“This is going to help millions of people access more affordable loans,” says Mark Rukavina, a principal at Community Health Advisors in Chestnut Hill, Mass. “People will no longer be penalized for having a medical bill slip past them and get on their credit report even though the bill gets paid.” Continue reading →