The Power of A

The DC publication Politico is highlighting an area of implementation for the recently passed health care reform that could impact some associations’ members for the worse, and shows the continued need for association advocacy during the implementation of the Patients Protection and Affordable Care Act.

The legislation included a ban on annual caps for insurance reimbursement, meaning that insurance companies cannot limit what they will pay out for health insurance.  The goal of this provision is to prevent insurance companies from denying further coverage for people with high-cost illnesses such as cancer, who otherwise would have incomplete coverage during treatment and would have to pay out-of-pocket.

A group of trade associations and businesses last week sent a letter to the Department of Health and Human Services, however, arguing that the ban on caps would harm their ability to continue providing insurance to low-wage workers.  The group - which included the International Franchise Association, National Restaurant Association, and the National Retail Federation - asked in the letter that subsequent regulations on the ban would allow for in-place low cost plans to continue offering coverage.

Many businesses, especially in the food and retail industries, offer a low-cost insurance plan to low-wage, seasonal, or temporary employees that would allow these employees to have some level of insurance coverage.  While these plans would have a limit on the number of allowed doctor’s visits or insurance pay-out, they would allow some coverage that would otherwise be unavailable to employees that could not afford a full medical plan.  These employees would be eligible to receive low-cost insurance and a federal subsidy through the health insurance exchanges, but these will not be in place until 2014.  If the low-cost plans are outlawed, these employee groups fear over one million employees could lose their coverage between now and 2014.

This issue highlights the need for associations to be aware of the regulatory process in the implementation of the health care reform bill.  Associations can keep visiting The Power of A to keep apprised of overall health care implementation as well as share their stories or issues.

In an effort to gain the 60 votes needed for passage, moderate Democratic Senators leaked a potential compromise yesterday that would remove the public option from the Senate health care bill and replace it with a larger Medicare pool.

The proposal would be to replace the public option language in the bill with a provision allowing Americans as young as 55 with no insurance to be eligible to buy into Medicare, the federal insurance plan for the elderly.  The advantage to this plan is that it takes an in-existence federal government insurance option (like the public plan) and makes it available to more people.  Additionally, the bill would grant the Office of Personnel Management (OPM) the ability to create a national pool for health insurance by contracting with private insurance companies and offering reduced rates to the uninsured.  The idea is similar to the current health care system for federal government employees.  The expected savings provided by these two proposals would allow the Senate to increase the subsidies given through Medicaid to people at 150% of the federal poverty limit, up from 133% currently in the legislation.

Most moderate Democratic Senators have expressed tepid support, but will wait until the Congressional Budget Office has a chance to score the compromise before commenting.

Critics of the proposal reply that increasing the number of people in both Medicare and Medicaid would actually increase government expenditures in health care.  They also note that the increased number of enrollees could add to the funds’ solvency issues and drive up the rates for current enrollees.

Do you think the Medicare/Medicaid idea is a viable public option compromise?

Quick Hits

Politico on the health care policies of the National Restaurant Association and CEO Dawn Sweeney… The Nelson/Hatch abortion amendment will receive a vote today… The “tanning bed tax” (subscription) could soon join the “Botox tax” in the Senate health care bill… The American College of Cardiologists “Hospital to Home” program is used as a model for Medicare patient hospitalization resolution.

As Americans prepare to celebrate Thanksgiving on Thursday and millions begin to pack their luggage to travel, associations are providing valuable advice and information to ensure that everyone has a safe and less stressful holiday season.

Thanksgiving week is considered the largest travel weekend of the year, with millions of Americans driving and flying to different destinations to celebrate the holiday.  While airlines are expecting fewer delays than last year, the crowds and number of people flying can increase stress among all participants.  The Air Transport Association of America (ATA) estimates that 4 million fewer people will fly this year, but still has a resource page of tips for fliers to minimize their delays and make their air travel smoother.  The American Automobile Association (AAA) is estimating that the number of car travelers will be increasing by over 2% this year, making for more crowded roads.  American Trucking Associations has a list of tips for Thanksgiving drivers to ensure safe travel on the highways, including have an emergency kit for breakdowns, be aware of truck blind spots, and know the local weather.

Of course when most people think Thanksgiving, they think of turkey.  The National Turkey Federation has a Thanksgiving turkey site, which in addition to having recipes for cooking turkey, has information on safe eating and preparation as well as how to contact health officials if you suspect food poisoning.  But if you plan on not cooking this Thanksgiving, you are not alone.  According to the National Restaurant Association, 11% of Americans eat at a restaurant on Thanksgiving, while 53% of consumers use restaurant-prepared takeout dishes as part of their Thanksgiving meal.

Does your association have good tips or information for the Thanksgiving holiday?

Quick Hits

The New York Times analyzes how the “Cadillac” health care plan tax proposal will affect consumers… The American Medical Association and AARP are launching media ads about how health care reform proposals will affect Medicare… The Hill interviews an FCC Commissioner on net neutrality.