Lawsuits Challenge Health Care Reform Mandate

Posted by IQ HSA on May 20, 2010 · Leave a Comment

Lawsuits Challenge Health Care Reform Mandate

Since March 23, 2010 when President Obama enacted the new legislation legal attacks continue to mount on one of the health care reform law's highest profile provisions – the requirement that all Americans carry health insurance or pay a penalty.

The requirement isn't scheduled to take effect until 2014, but on Friday, seven states (Alaska, Arizona, Georgia, Indiana, Mississippi, Nevada and North Dakota) officially joined 13 others in a lawsuit filed in U.S. District Court in Florida. Together, the 20 states are challenging the constitutionality of the individual mandate requiring everyone to purchase private health insurance. The states are arguing the federal government does not have the authority to force people to buy a product – in this case, health insurance. One of the nation's largest small business groups, the National Federation of Independent Business (NFIB), has also joined the lawsuit.

Since the enactment of health care reform, numerous states have filed similar legal actions, but according to the New York Times, the Florida lawsuit "could carry the most weight, and may be on the fastest track in the most advantageous venue."

The Obama administration defends the mandate as valid, saying Congress has the power to regulate interstate commerce. Last week, Justice Department attorneys provided the government's first official response on the matter – in reference to a lawsuit filed in federal court in Detroit on March 23, the same day the President signed the health care reform law. The conservative Thomas More Law Center brought the suit, alleging the mandate amounts to an unconstitutional tax.

Meantime, Missouri is the first state to call for a public vote on the health insurance mandate. The state's House of Representatives last week approved a ballot measure that says individuals and businesses cannot be compelled to have health insurance. The vote is scheduled for Aug. 3, during the state's primary election.

Regardless of the final impact these lawsuits or upcoming congressional elections have on the implementation of the new Health Care Reform Law, the fact remains that the only way to truly reform our health care system and the health insurance market is by putting the consumer back in control. Health Savings Accounts (HSA) are a great first step. Check out HSA Basics to learn more.

Filed under Health Care Reform · Tagged with health care reform, health insurance, health savings account, Private Health Insurance

Summary About Health Care Reform

Posted by IQ HSA on April 20, 2010 · Leave a Comment

Summary About Health Care Reform

Part II.

Health insurance plan changes that impact individuals and employers (both fully insured and self-funded plans unless otherwise noted) over the next few years:

IN 2011:

• Medical loss ratio (MLR). A Health insurer must publicly report on its MLR and spend at least 80 percent of small Business group premiums on medical services or provide rebate payments to enrollees.

• Spending accounts. Health savings accounts (HSAs) and flexible spending accounts (FSAs) may no longer be used to purchase over-the-counter drugs unless prescribed by a doctor. Increases tax for nonqualified Health Savings Account (HSA) withdrawals from 10 percent to 20 percent, and for Archer MSA withdrawals from 15 percent to 20 percent.

• HHS studies. HHS is required to study the group health insurance plan markets to compare employer characteristics and determine whether the new health insurance plan market reforms are likely to cause adverse selection in the large employer group health insurance market or to encourage small and midsize employers to self-insure. HHS and the Department of Labor must also collect information on self-funded plans. These studies could lead to additional employer reporting requirements.

• Uniform explanation of coverage. Within 12 months of the law’s enactment, HHS, in consultation with the National Association of Insurance Commissioners, will develop uniform standards and definitions for summaries of health insurance benefits and health insurance coverage explanations. Within 24 months of enactment, group health insurance plans must provide enrollees and applicants with coverage documents that meet these standards.

IN 2012:

• Comparative effectiveness fee. A new fee is imposed on group health insurance plans to fund comparative effectiveness research ($1 per participant through 2013; $2 per participant through 2019).

IN 2013:

• FSA contributions. Contributions to flexible spending accounts are limited to $2,500 a year.

IN 2014:

The federal definition of a small group employer is defined as an employer with 1-100 employees. States can modify the definition to 1-50 employees until January 1, 2016.

• Pre-existing conditions. Group health insurance plans can no longer impose pre-existing condition exclusions for any person of any age.

• Annual limits. Annual limits on essential health insurance benefits are prohibited.

• Guaranteed issue. Health insurance companies must accept every employer who applies for health insurance coverage.

• Rating restrictions. Rating restrictions go into effect for new fully insured small group health insurance plans. Insurance companies cannot base premiums on health status, claims experience or gender. Health Insurance Premiums can only vary by:

– Age (no more than 3:1)

– Geography

– Family size

– Tobacco use (no more than 1.5:1)

• Merged markets. States are allowed to merge the individual and small group health insurance markets.

• Clinical trials. Health Insurance Coverage of routine patient care costs is mandated for participation in approved clinical trials (does not apply to grandfathered plans).

• Exchanges. State health insurance exchanges are up and running for small businesses group health insurance and private individuals health insurance to buy coverage.

• Essential benefits. Essential health insurance benefit plan is created, which mandates the level of health insurance benefits that must be included in plans offered in the exchange, as well as in the private individual health insurance and small group health insurance markets outside the exchange. Deductibles limited to $2,000 for individuals and $4,000 for families in the small employer group health insurance market (self-funded plans and grandfathered plans are exempt from this requirement).

• Cost-sharing limits. Cost sharing imposed under group health insurance plans is limited to current health savings account amounts (does not apply to grandfathered plans).

• Waiting periods. Waiting periods cannot exceed 90 days.5

• Wellness. Expands health insurance plan wellness incentives up to 30 percent of total coverage costs (up to 50 percent with HHS approval).

• Reinsurance. A temporary reinsurance program will be established for the private individual health insurance market and funded by individual and group health insurance plan assessments ($25 billion in 2014-2016).

This summary provided by Humana One Health Insurance and Humana Small Business Health Insurance.

Filed under Health Care Reform Bill Summary · Tagged with Employer Group Health Insurance, Group Health Insurance Plan, Health Insurance Plan, health savings account, HSA, Private Individual Health Insurance

Health Savings Insurance Provides Access To The Uninsured

Posted by IQ HSA on March 1, 2010 · Leave a Comment

HSA health plans are playing a role to help provide access to the uninsured, promote preventive health services and show individuals and families where their hard-earned money is going in the health care system.

HSA premiums have been growing at a slower rate than traditional insurance premiums.
HSAs offer the advantage of portability – if you change jobs or your employment status changes, you keep the money in your HSA and continue using it to pay for your health care.
Most HSA plans provide incentives for you to stay engaged in your overall health and well-being and almost all HSA plans offer first-dollar coverage for preventive services.
HSA health plans play a vital role in providing health care coverage to millions of Americans who might otherwise be uninsured. A study by America’s Health Insurance Plans found that 27 percent of those buying HSA health plans in the individual market previously did not have health insurance.
Health savings accounts encourage individuals to take a more active role in determining how they receive health care by choosing how to spend their health care dollars. When health care decisions are made by patients based on quality, effectiveness, and cost, money is being spent more efficiently.

The people we work with are saving an average of $2,208/year on their health insurance premiums without sacrificing benefits. You owe it to yourself to find out how a HSA can benefit you. Contact us today at 602-510-7507 or info@iqhsa.com

IQ Financial Group, llc. is a licensed insurance agency in the state of Arizona. We offer a complete selection of health insurance, term life insurance, disability insurance, long term care insurance and supplement plans to individuals, families, self-employed and small businesses throughout Arizona. We offer the best in Arizona Health Insurance.
© IQ Financial Group, llc.

Filed under Health insurance made simple · Tagged with America, arizona health insurance, contribution, health insurance, health insurance savings, health savings account, health savings insurance, HSA, insurance premium, premium savings, preventive health services, uninsured

Who Is Using Health Savings Insurance

Posted by IQ HSA on February 26, 2010 · Leave a Comment

Americans choosing Health Savings Account (HSA) coverage represent a wide range of people from all backgrounds and walks of life. Consider the following:

HSA health plans provide comprehensive health coverage for more than eight million Americans.
About 40 percent of tax filer’s age 19-64 who reported HSA activity on their tax returns had average annual incomes below $60,000. (Government Accountability Office, April 2008).
About half of enrollees in an HSA-eligible plan are aged 40 and above, and half are below the age of 40. In the individual market, 25 percent of HSA-eligible plan enrollees were younger than age 20.
The 2009 Kaiser Family Foundation study of employer-based health benefits found that 71 percent of employers that offered HSAs contributed to their employees’ accounts, and that the average contribution for accounts was $1,000 for individuals and $1,640 for families.

Filed under Health insurance made simple · Tagged with health insurance, health insurance savings, health savings account, health savings insurance, HSA, prevention, wellness

Having A Qualified Health Insurance Plan Is Not Enough

Posted by IQ HSA on February 23, 2010 · Leave a Comment

Having a High Deductible Health Plan (HDHP) is only half the battle. You must also open your Health Savings Account (HSA) before you have eligible expenses. You are not allowed to reimburse yourself for eligible expenses incurred prior to opening your Health Savings Account (HSA).

It is easy to open an account today by visiting our recommended provider American Chartered Bank. Simply open an account online and fund as little as $25 to keep from having problems in the future. Once the account is open you can then make deposits and reimburse yourself for expenses incurred after the account is open.

Filed under Arizona Health Resources, Health insurance made simple · Tagged with american chartered bank, eligible expenses, HDHP, health savings account, High Deductible Health Plan, HSA

Latest On Health Care Reform

Posted by IQ HSA on January 15, 2010 · Leave a Comment

In it’s current form the Health Care Legislation includes several provisions that will disadvantage or threaten HSA health plans, including:

A new premium tax that will cause premiums to rise for individuals, families and small businesses;
Mandated benefit levels that could eliminate HSA health plans as an option for coverage;
A rule against using money in your HSAs to buy any over-the-counter drugs, such as allergy medications, that you now get without a prescription; and
An increased penalty for the use of HSA dollars for non-qualified medical expenses from 10% to 20% of the reimbursement.

The window of opportunity is closing, but there is still time to contact your elected representatives in Congress and to let them know how you depend on your HSA health plan for quality coverage and to save for medical expenses.

Call, email, write or visit your Representative and Senators today. Look up their contact information here.

Get quotes for individual/family health insurance in Arizona here. Contact us today at 602-510-7507 to find out how an HSA can benefit you.

Filed under Health Care Reform · Tagged with affordable, Arizona, government healthcare, health insurance, health savings account, health-care, healthcare, HSA, legislation, Medicare, reform, Self employed

House And Senate Conferees Will Have To Reconcile Two Bills

Posted by IQ HSA on December 30, 2009 · Leave a Comment

Abortion: The House version includes stricter language designed to prohibit the use of federal funds for abortion coverage, except in cases of rape, incest or when the mother’s life is in danger. That helped appease House conservatives, but abortion was even more of a make-or-break issue in the Senate, so that chamber’s slightly milder language could win out.
Taxes: The House and Senate bills would fund health reform in entirely different ways. The House bill would tax individuals making more than $500,000 a year and families making more than $1 million. The Senate bill would tax so-called “Cadillac” or high-cost health plans – an idea opposed by labor unions and many House Democrats. The Senate version would also impose annual fees on health insurers starting at $2 billion in 2011 and going up to $10 billion in 2017.
Public plan: The House bill includes a government-run plan that progressives fought hard to include. Instead of a government-run plan, the Senate version would instruct the federal Office of Personnel Management to contract with private insurers to offer at least two national health plans for individuals and small businesses. One of those plans would have to be nonprofit. Conventional wisdom says the final, combined bill will not include a public plan, but House leaders could seek other tweaks in exchange for dropping the idea. Possibilities include increasing federal subsidies to help low- and middle-income people afford coverage, creating a single, national insurance exchange instead of one in each state, or introducing those exchanges earlier – in 2013, a year earlier than the Senate bill stipulates.
Medicare Advantage:Each bill would cut funding for the Medicare Advantage program, but the amount differs substantially. The House bill includes cuts of $170 billion over ten years. The Senate bill would trim reimbursements by $118 billion over the same ten-year period. We didn’t mention the potential impact on Health Savings Accounts (HSA) because it is unclear what if anything will change with the final bill. As stated previously, two components of health care in this country that work are Medicare Advantage and Health Savings Accounts. Ironically these are two programs on the chopping block of both pieces of legislation. Very unfortunate how we have come to accept mediocrity in this Great Country.

For more, check out these side-by-side comparisons from the New York Times and Wall Street Journal.

Get quotes for individual/family health insurance in Arizona here. Contact us today at 602-510-7507 to find out how an HSA can benefit you.

Filed under Featured Posts, Health Care Reform · Tagged with Arizona, Cheap Health Insurance For Students, employee benefits, government healthcare, health, health care cost, health insurance, health savings account, HSA, legislation, Medical Savings Account, Medicare, new york times, rate increase, reform, side by side comparison, single payor, value, Wall Street Journal

Two Questions For Anyone Debating Healthcare Reform

Posted by IQ HSA on December 9, 2009 · Leave a Comment

I have two questions for anyone considering the healthcare proposals currently being bantered in congress.

Q: Why have we not had one company step up and compete with Medicare in its 60+ years of existence?

A: Because it is impossible to compete with the government. The government does not need to ever earn a profit; they virtually have a never ending supply of capital (taxes). To believe the “public option” would compete with private insurance companies is simply naive.

Q: Name one government program that has been a success?

A: You cannot. Ex: Medicare and Social Security – bankrupt and heading towards a large percentage of the population ready to jump on board. Part of the reason why the government is pushing this new program is to get them out of their previous messes.

This is not a partisan issue, its common sense. Please wake up and consider this logically as opposed to emotionally. This whole debate has been like watching the herd of buffalo follow each other over the cliff.

Get quotes for individual/family health insurance in Arizona here. Contact us today at 602-510-7507 to find out how an HSA can benefit you.

Filed under Featured Posts, Health Care Reform · Tagged with affordable, Arizona, containment, government healthcare, health care cost, health insurance, health savings account, health-care, healthcare, HSA, Medicare, Self employed, single payor

Health Care Reform Bills Impact HSA’s

Posted by IQ HSA on November 4, 2009 · Leave a Comment

Is your HSA being impacted?

Congress will soon vote on health care reform legislation that could harm the more than 8 million Americans who have a health savings account (HSA) and restrict those who want to purchase HSA coverage in the future.

Starting this week, the House of Representatives will begin debate on the Affordable Health Care for America Act, and the Senate is expected to finish work on its version of health care reform shortly.

Both the House and Senate bills make major changes that would impact people with HSAs:

Both bills mandate benefit levels for most health plans that could eliminate HSAs as an option.
Both bills prohibit you from using any money in your HSAs to buy over-the-counter drugs such as allergy medications that you now get without a prescription.
The Senate bill may place a tax on high-value health plans, so-called “Cadillac” plans, by taxing the cost of such coverage, including employer contributions to your HSA.
Both bills raise the penalty for the use of HSA dollars for non-qualified medical expenses from 10% to 20% of the reimbursement.

It is important that you take the time to contact your members of Congress and let them know that you depend on your HSA for affordable coverage and the flexibility to set aside tax-free dollars to pay for your health care expenses.

Click here and enter zip code.

Get quotes for individual/family health insurance in Arizona here. Contact us today at 602-510-7507 to find out how an HSA can benefit you.

Filed under Featured Posts, Health Care Reform · Tagged with affordable, Arizona, catch up, Cheap Health Insurance For Students, contribution, employee benefits, government healthcare, health insurance, health savings account, health-care, healthcare, HSA, Individual Health Insurance, Insurance carrier, limits, low cost, Major medical, Medical Insurance, Medical Savings Account, prevention, reform, Self employed, value, wellness