Top Five Things I Learned in D.C. - From the Desk of Jess Martin
(Posted on 02/24/17)
My trip to the nation's capital this year for the NAHU Capital Convention was one filled with information, honor and fun. D.C. is always a vibrant town, but this year felt a little more special as over 70 benefit specialists from NJ traveled to hear, learn and advocate for the healthcare community. Here are the top five things I learned in D.C. this year:
1. Senator Bill Cassidy is Broker Friendly.
The Cassidy-Collins bill, known as the Patient Freedom Act, is one of the ACA replacement bills being proposed and is a market-based solution that gives the consumer transparency and power by lowering costs, eliminating mandates, and returning power back to the states over. Still early on in the works, the Patient Freedom Act would do one of three things: Allow states to keep the "Obamacare" platform they have in place, choose your own state alternative method with no federal assistance, or put in place the Patient Freedom Act. The proposal encourages the use of H.S.As, doesn't get rid of the prohibition on pre-existing condition exclusions, and moderates how subsidies are given. Passive enrollment is another feature under the proposal, which would automatically enroll people who do not have coverage in a high-deductible plan and would cover the large population of people who are uninsured, including the healthy. Long story short, Bill Cassidy said he needs the brokers to be able to communicate all this to the members. He is broker friendly!
2. Block Granting in the Medicaid World.
Medicaid currently covers nearly 72 million Americans -more than Medicare - and up to 98 million may be covered at any one point in a given year. Even to expand more, the stats says one in three children are covered through Medicaid. That is a mind-blowing fact and one that I did not know. At this time, the Republicans are proposing a way to reduce the overall expenses of Medicaid through the use of black grants, which would give the states per-capita allotment as a reimbursement.
3. We Need Individual Market Stabilization - fast!
Secretary Price is on it! The proposed rule released on 2/15/17 aims to quickly stabilize the individual and small group markets while more substantive repeal and replace legislation has time to unfold.
4. H.S.As are Back!
The theme throughout all the Repeal and Replace proposals are H.S.A's. You heard me mention Bill Cassidy earlier and how he wants to enroll the uninsured in a high-deductible health plan. Others like Secretary Price would like H.S.As for all with a one-time refundable tax credit of $1,000 or Paul Ryan encourages the use of H.S.As by increasing the annual max.
5. You Still Need to Report.
If you remember, the reporting requirements had two moving parts to it: for large employers to report the coverage they offered and if it was affordable to their employees, and for the IRS to reconcile subsidies. For the time being, as long as there are subsidies still in the picture, there will be employer reporting!
If you have any questions on any of the above or would like to hear more about the trip, you can reach out to Jess Martin at jessmartin@martinins.com or 609-356-1500.
1. Senator Bill Cassidy is Broker Friendly.
The Cassidy-Collins bill, known as the Patient Freedom Act, is one of the ACA replacement bills being proposed and is a market-based solution that gives the consumer transparency and power by lowering costs, eliminating mandates, and returning power back to the states over. Still early on in the works, the Patient Freedom Act would do one of three things: Allow states to keep the "Obamacare" platform they have in place, choose your own state alternative method with no federal assistance, or put in place the Patient Freedom Act. The proposal encourages the use of H.S.As, doesn't get rid of the prohibition on pre-existing condition exclusions, and moderates how subsidies are given. Passive enrollment is another feature under the proposal, which would automatically enroll people who do not have coverage in a high-deductible plan and would cover the large population of people who are uninsured, including the healthy. Long story short, Bill Cassidy said he needs the brokers to be able to communicate all this to the members. He is broker friendly!
2. Block Granting in the Medicaid World.
Medicaid currently covers nearly 72 million Americans -more than Medicare - and up to 98 million may be covered at any one point in a given year. Even to expand more, the stats says one in three children are covered through Medicaid. That is a mind-blowing fact and one that I did not know. At this time, the Republicans are proposing a way to reduce the overall expenses of Medicaid through the use of black grants, which would give the states per-capita allotment as a reimbursement.
3. We Need Individual Market Stabilization - fast!
Secretary Price is on it! The proposed rule released on 2/15/17 aims to quickly stabilize the individual and small group markets while more substantive repeal and replace legislation has time to unfold.
4. H.S.As are Back!
The theme throughout all the Repeal and Replace proposals are H.S.A's. You heard me mention Bill Cassidy earlier and how he wants to enroll the uninsured in a high-deductible health plan. Others like Secretary Price would like H.S.As for all with a one-time refundable tax credit of $1,000 or Paul Ryan encourages the use of H.S.As by increasing the annual max.
5. You Still Need to Report.
If you remember, the reporting requirements had two moving parts to it: for large employers to report the coverage they offered and if it was affordable to their employees, and for the IRS to reconcile subsidies. For the time being, as long as there are subsidies still in the picture, there will be employer reporting!
If you have any questions on any of the above or would like to hear more about the trip, you can reach out to Jess Martin at jessmartin@martinins.com or 609-356-1500.