Maryland lawmakers are scheduled to consider recommendations from the Board of the Maryland Health Benefit Exchange regarding how the state should construct and insurance exchange system. The board introduced their recommendations to the General Assembly on Tuesday, but legislators will not decide what to do until the beginning of next year. The state is required to establish an insurance exchange system by federal law, but Maryland legislators have been slow in passing any new laws that would make the program a reality. The insurance exchange board was formed to guide…
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Pennsylvania insurance regulators see their rate review authority expanded with new law
The Pennsylvania Insurance Department has had its authority over insurance rates for small employer health care policies expanded this week. On Thursday, Governor Tom Corbett signed Senate Bill 1336 into law, giving regulators the power to adjust the insurance rates in the small group market. For the first time, state insurance regulators will be able to review and disapprove new rate proposals coming from insurers. They will also be able to require insurers to justify their need for a rate increase and demand changes if necessary. Insurance Commissioner Mike Consedine…
Read MoreInsurance brokers speak out against commissions rule in healthcare overhaul
Insurance producers are fighting the Patient Protection and Affordable Care Act’s (PPACA) element that excludes commissions from the calculations of the minimum medical loss ratio. The PPACA states that health insurance companies in the large group market must spend a minimum of 85 percent of premiums on healthcare services, and those in the small group and individual markets much spend at least 80 percent on healthcare services. Broker and agent groups are battling on Capitol Hill to remove their commissions from the requirement. They had hoped that the cause would…
Read MoreWill insurers be the next motivator for quitting smoking?
Insurance companies have put forward a proposal to charge a higher premium for covering smokers as a new form of motivator for individuals to quit their cigarette habit. WalMart is among the organizations spearheading this effort to make it more expensive for smokers to obtain health insurance coverage. However, whether or not it is right for medical insurance to make this choice is just as important as whether or not people will actually take control over their own health risks and stop their smoking habit. According to Psychologist Dr. Carol…
Read MoreFlorida Health Choices program to launch July 2012
Florida legislators are looking to launch a new health care plan for small businesses in July 2012. The Florida Health Choices program, which was first built by lawmakers in 2008, aims to bring affordable health care policies to small businesses as an alternative to those offered by private insurance companies. The program has been in the development phase for several years partly because legislators want to make certain the program is being built correctly. The Florida Health Choices board says that the program is as ready as it will ever…
Read MoreNew York to look into the benefits of a health insurance exchange
New York legislators are moving ahead with plans to lay the foundation of a health insurance exchange. Though the state Legislature has not yet passed any legislation making an exchange possible, lawmakers and insurance regulators are looking to prepare the state for what they believe is an inevitable system. New York has until 2014 to build an exchange system or risk having the federal government rake over the program. To date, New York has received more than $38 million in federal grants to work on implementing an exchange. In June,…
Read MoreAmerican employers are using more insurance plans with high deductibles
A new survey has shown that employers in the United States who are struggling to manage the increasing costs of healthcare insurance are broadening the use of plans with high deductibles to help to keep the monthly premiums at a more affordable level, since more of the burden of medical expenses is falling on the employees. A Mercer benefits consulting firm survey, which involved the participation of 2,844 public and private employers, showed that this year, 32 percent of businesses that employ more than 500 people now have high-deductible health…
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