Kevin Knauss: Health, History, Travel, Insurance
Posts on the development and implementation of the California health insurance market place, application, account, enrollment, termination.
After giving presentations in Oroville and Chico, it was apparent that I should offer the educational seminar to other communities in Northern California that want to learn more about this new health insurance market place call Covered California. I am now offering presentations on the features and benefits of Covered California to large and small groups.
One of the biggest questions regarding eligibility for premium assistance or discounts under the new Affordable Care Act is what type of income must the applicant count? The Covered California CalHEERS enrollment website will have a drop down menu to prompt households on the type of income they should be entering for eligibility.
On a recent webinar, Chris Patton, Vice President of SHOP Sales and Agent Management for Covered California, reported that over 15,000 insurance agents have registered to become certified to sell both individual and small group health plans through the California health insurance exchange. Of those thousands of agents, less than 1700 had completed the necessary training for certification only days before the start of open enrollment. In addition, no agents will actually be certified as of the launch on October 1st because agent agreement has not been released.
The new Affordable Care Act health plans offered through Covered California will help many people move out of an expensive COBRA plan and into an insurance plan with lower premiums. However, COBRA is considered “employer offered” health insurance that meets minimum essential benefits and value. Because of this many people and families on, or offered, COBRA will NOT be eligible for tax credits to reduce the monthly premiums of Covered California plans.
Open enrollment for the new Covered California health plans launches October 1st. But you don’t have to rush into unknown waters and sign up for coverage that doesn’t start until January 1, 2014. Because these health plans are new, it would be prudent to avoid immediately enrolling until the health plans have been reviewed and all the details are known.
The misguided training was a missed opportunity to explain the importance of Covered California and how the ACA will help millions of people get access to affordable health insurance and quality care. Instead we were told that health plans were expecting lots of sick people to seek care and they were cutting back on their providers. You know, “those people” were going to use the system they had been shut of for years by insurance companies who were just “following the rules” of being able to deny sick people health insurance. It wasn’t the fault of the insurance company, one trainer opined.
When I explained the In-Person Assistance enrollment program to one gentleman recently he started to map out how he could generate a nice donation for his favorite nonprofit. Essentially, if he was to become a CEC, enrolled 10 individuals or families, he could let his nonprofit keep the $580 compensation as a donation. Wow, helping people get affordable health insurance and making a donation to your favorite charity or group all at once!
If an agent is strongly opposed to Obamacare they should seriously consider not even selling ACA compliant health plans. Clients are better served by those who believe in the product than those who are selling just for the money.
In communication with their brokers on September 10, Health Net said they would be closing all their California individual and family plans (IFP) as of December 31, 2013. The closures do not affect their small or large group plans. The announcement cited the development of all new Affordable Care Act compliant plans as a reason for scrapping all the old ones.
Whether your group doesn’t offer a health plan for employees or you’re considering dropping your group plan and letting your employees migrate to the new health insurance exchange established by the ACA, your employees will appreciate some assistance with enrollment. States are setting up In-Person Assistance programs to help individuals and families enroll in the new health plans to become eligible for the premium assistance.
