Health Care Panel Hears Of Risings Costs In Florida

July 20, 2012

As Florida moves into the “Obamacare” era, a state insurance panel Thursday heard from stakeholders who offered some predictions but largely said it’s too early to tell how the sweeping law will affect residents and businesses across the state.

There was one notable exception: They said the price of health insurance is going to go up.

During more than two hours of testimony, the Florida Health Insurance Advisory Board heard from representatives of the managed-care industry, state health officials and a conservative analyst. They mapped out scenarios should the federal health overhaul continue or be repealed by Congress before fully taking effect in 2014.

Michael Garner, president and CEO of the Florida Association of Health Plans, said the federal law will require insurers to pay about $8 billion in fees after the program begins in 2014, a figure that is expected to increase to $14 billion by 2018. Those costs will likely be passed on to consumers in the form of higher rates for policies in place after 2014.

“These premium increases will be seen soon in rate filings,” Garner said.

One possible consequence, warned conservative analyst Ed Haislmaier, is that as the price of health care rises, more small employers may choose to go off the grid and not carry any coverage at all. Even without the federal law, health-insurance prices have steadily climbed in recent years.

“One way or another, if this stays or goes, there is a significant interest in employers of getting out of providing benefits,” said Haislmaier, a senior research fellow at the Heritage Foundation. “A lot of employers are going to find ways to get around this.”

If Congress repeals all or part of the program, Haislmaier said other less-sweeping attempts to expand health care will likely follow. He used as an example of health care revisions that took place after the Clinton-backed health care efforts imploded in the early 1990s.

“Does that mean reform is dead, dead for decade? I would say no,” Haislmaier told the panel.

The federal plan requires employers with more than 50 workers to offer insurance or pay fines. Individuals who choose not to obtain insurance will be taxed. Residents not receiving health care through their employers would be steered to exchanges set up to link people with insurers.

Florida is among a handful of states including South Carolina, Texas, Alaska and Maine that have already stated they would not create insurance exchanges and would rely on the federal government to run the program.

By The News Service of Florida

Comments

5 Responses to “Health Care Panel Hears Of Risings Costs In Florida”

  1. Albert on July 22nd, 2012 11:11 am

    My health insurance has gone up every year. It has eaten up all if any raise that I have received. On top of that what my insurance covers has gone down and my deductable has tripled but I still can go to the doctor that I want and get the care that I want without some panel telling me I’m to old to receive care. We don’t need additional fee’s/tax to pick our pocket any further.

  2. Hobby on July 20th, 2012 10:21 am

    You can’t trust a penny pinching republican tea party Gray hair bean counter. Wake up people it’s the same old GOP message. Doom despair and agony on the poor and middle class looking for that big business trickle down there pennys. Hahahahahahahahaha.

  3. Hobby on July 20th, 2012 7:39 am

    My crystal ball says everything is going to go up by 2014. But my crystal ball says it won’t quite double by 2018. KEEP YOUR NEGATIVE AGENDA GOING. REMEMBER NEVER ANYTHING POSITIVE. KEEP THE BRAINWASHING GOING. Never use the term Obamacare that’s childish. Call the law buy it legal term Affordable Healthcare Act as passed. Stop that bias reporting.

  4. Kathy on July 20th, 2012 6:09 am

    Like it hasn’t been rising like yeast dough in a warm oven. Gone up big time for the last 12 years. Who are they kidding. At least they have to use 80% of the premium on your care or pay it back what they didn’t use for your care to you at the end of the year.

  5. Jane on July 20th, 2012 6:03 am

    This no surprise. Why do you think Nancy Pelosi and Harry Reid wouldn’t tell us what was in the bill? I read it online afterward and realised this is the tip of the iceberg. Wait until the “panel” starts deciding who get surgery and who doesn’t…of course if you are rich you can buy your surgery in another country or pay for it here. Nothing is free.

Written by William Reynolds · Filed Under News