adultBasic Premium Increases Will Make Insurance Unaffordable
The Pennsylvania Health Access Network (PHAN) put out the following press release today:
HARRISBURG, PA (January 14, 2010) - Planned changes to the state’s adultBasic health insurance program could make coverage unaffordable to thousands of Pennsylvanians who desperately need it to address urgent medical needs, according to the Pennsylvania Health Access Network (PHAN).
The Pennsylvania Department of Insurance on Wednesday announced the changes to the adultBasic program, which will go into effect in March 2010. They include an 80% increase in monthly premiums for the 3,500 participants who buy into the program at cost, from an average of $330 to $600 a month. Higher cost-sharing and utilization limits will also impact the more than 41,000 enrollees in the adultBasic program.
“Many individuals who cannot afford these higher premiums will have no recourse but to turn to hospital emergency rooms for treatment or to take on thousands of dollars in medical debt that they cannot afford,” said Sharon Ward, Director of the Pennsylvania Budget and Policy Center and a member of PHAN.
“Pennsylvania’s adultBasic program has provided an affordable insurance option for as many as 90,000 individuals annually,” Ward added. “It is a critical safety net for working individuals who are unable to obtain – or to pay for – employment-based coverage. In these bad economic times, and even with existing budget constraints, the Commonwealth must take steps to keep this insurance option affordable.”
“These changes could prompt uninsured Pennsylvanians to delay care until their condition worsens,” said Laval Miller-Wilson, Executive Director of the Pennsylvania Health Law Project.
“We see clients coming through our doors every day who are uninsured and in desperate need of care,” Miller-Wilson said. “These premium hikes are going to be a roadblock to obtaining health coverage, and as a result, people are going to get sicker and more costly to treat.”
Pennsylvania Serves Vital Role Until Health Reforms Put in Place
Until health reforms now before Congress are implemented, the Commonwealth will play a vital role in addressing the challenges faced by uninsured Pennsylvanians.
“The proposed changes in the adultBasic program underscore the urgent need for federal health care reform,” said Beth Heeb, Executive Director of Consumer Health Coalition and a member of PHAN. “But until reform is implemented in 2013, Pennsylvanians will need a strong, affordable adultBasic program.”
“PHAN is grateful for the efforts of Governor Rendell and Insurance Commissioner Ario to strengthen the state’s health insurance programs through the Prescription for Pennsylvania,” Heeb added. “We regret that the General Assembly failed to adopt that proposal, which would have allowed the Commonwealth to access hundreds of millions in federal matching dollars. Passage would have significantly lessened the need for premium increases and program limits.”
Now, PHAN is calling on the Governor and General Assembly to reconsider the steep premium increases and higher cost-sharing proposed this week for adultBasic.
The coalition is also urging Pennsylvania’s four nonprofit Blue Cross/Blue Shield plans to recommit and increase their contributions to the Community Health Reinvestment Fund, which helps pay for the adultBasic program. These funds will lapse in 2010 unless a new agreement is reached.
Finally, PHAN calls on the General Assembly to bring Pennsylvania in line with every other state in the nation by enacting a tax on smokeless tobacco and other tobacco products and to use a portion of that revenue to support adultBasic and prevent these premium increases.
Comments
Perhaps someone could explain
Perhaps someone could explain the reason why NO ONE has been accepted off the waiting list to actually receive Adult Basic for approximately one year. In that year(s) time, surely there has been people drop off due to actually finding a job with insurance or situation changes such as death. However, no one new (from the WAITING list) has moved up. There are people that have waited THREE years and now are asked to pay $600/person/month AND decreased coverage? Who could POSSIBLY afford that when they are on the waiting list to begin with because of LOW LOW income?
Adult Basic
I am 51. I have worked all my life and had health care ins. Since 2007 I have been unable to find FT work. I lost my employer ins. and could not get no insurance because of some fabricated pre exisiting conditions. I have been turned down by AETNA and Blue Cross. I did get the adult basic while on the three year waiting list. I just recvd. a notice my monthly rate will double. I cannot pay this. At 51, with developing health concerns, I will no longer have ins. My unemployment beneifts along with my tiny retirment account prohibit me from medicaid. WHAT AM I SUPPOSED TO DO? DIE?
I too worked for over ten
I too worked for over ten years and had health care insurance. I got laid off from my job and have been on the Adultbasic waiting list for over two years now. I can't afford the premiums either and have lived without health insurance all this time. No one seems to be moving off the waiting list because it seems as though everyone is out of work and who wants to give up only paying $36 a month for health insurance as opposed to 300-600 dollars a month?
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