Mass Association of Health Plans link

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BC/BS Foundation testimony

Shanna Shulman Blue Cross Blue Shield Foundation of Massachusetts

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 Health Care for All testimony

My name is Lindsey Tucker, and I am the Health Reform Policy Manager at Health Care For All.

• I am testifying today on behalf of the ACT!! Coalition, a diverse group of over 75 organizations committed to comprehensive health reform implementation.
• As you know, Chapter 58 requires all Massachusetts residents to purchase health insurance coverage if it is affordable to them.
• Currently the Affordability Schedule – as defined by the Connector Authority – only takes into account the cost of health insurance premiums, excluding other real costs such as co-pays and deductibles.
• The Affordability Schedule is intended to safeguard those who cannot afford health coverage from the individual mandate, especially in the current economic climate, when many Massachusetts residents will be less able to afford health insurance.
  • An affordability schedule that does not incorporate cost sharing is inherently discriminatory against the elderly and those with chronic diseases, who have often face high cost-sharing for prescriptions and doctor visits to manage their health.
• The ACT!! Coalition has advocated with the Connector for a more comprehensive Affordability Schedule that takes into account all out of pocket costs, not just premiums. 
• The Affordability Schedule for the individual mandate should:
  • require the same percentage of income from individuals from year to year;
  • include an overall 10% cap on health care premium spending; and
  • take into account cost-sharing as well as premiums.
• Therefore, ACT!! supports Senate Bill 549 and House Bill 1102, An Act Relative to Health Care Affordability, to ensure that the coverage Massachusetts residents obtain is truly affordable to them.
• An Act Relative to Health Care Affordability, will redefine the affordability schedule to take into account all out-of-pocket costs, not merely premiums, to reflect realistic costs of health care.
  • Currently, the definition of affordability takes into account only the cost of health insurance premiums, excluding other real costs such as co-pays and deductibles.
  • Out-of-pocket health care costs such as co-pays, co-insurance, and deductibles must be taken into account, as well as health services (like dental care) not included in coverage plans. 
  • This will guarantee that the coverage Massachusetts residents obtain is truly affordable to them.
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