What Happens to Current 10k Plans Come 14'

[somarco]

what happens to the plans that got "waivers"?

Plans that were granted waivers were mostly limited benefit plans. Those plans will not be offered to new applicants in 2014.

I have asked several carriers about non-grandfathered plans and no one has yet indicated those plans will go away in 2014 for existing policyholders.

 

[Yagents]

Plans that were granted waivers were mostly limited benefit plans. Those plans will not be offered to new applicants in 2014.

I have asked several carriers about non-grandfathered plans and no one has yet indicated those plans will go away in 2014 for existing policyholders.

That's why we're cutting edge on this forum, we ask the tough questions as reality gets closer. C'mon Bob, I'm sure you have someone you can make a call to that knows product development/PPACA well enough to project 2014 for us. Maybe I'll send an email to NAHU.

Our gov't thinks limited medical plans ARE insurance, otherwise they would let these folks get on PCIP now. If limited plans go bye bye, so do 10k plans. If not, that would be picking winners/losers and makes absolute sense given this administration.

 

[Ann H]

It was my understanding that it would be illegal for an insurance company to sell/maintain a non-compliant plan after 2014, unless that plan was grandfathered. I didn't think you had the option of keeping it and paying a penalty for non-compliance. If you did, I think a lot of my clients would do exactly that. They don't want to go completely uninsured and game the system, but they don't want the higher premiums for compliant plans either.

 

[somarco]

I didn't think you had the option of keeping it and paying a penalty for non-compliance. If you did, I think a lot of my clients would do exactly that. They don't want to go completely uninsured and game the system, but they don't want the higher premiums for compliant plans either.

The penalty for non-compliance is nominal. With GI and (presumably) no waiting period or pre-ex, why not just buy an accident plan and CI then wait to buy real insurance once your health changes?

 

[somarco]

Decided to initiate an email inquiry to a company officer I know very well. Here is his response.

It is actually an open question. If HHS requires that carriers pool all business after 3/23/10 including that which begins in 2014, then the non-grandfathered will be subject to things like unisex and community rating. There is some belief that carriers will be able to handle non-grandfathered business sold before 1/1/14 effectives differently that 2014 business. In this scenario the non-grandfathered business would not be subject to all the items that go into effect 1/1/2014.

So this is one that is undetermined yet and could go either way. I believe the law is not specific about this so it could be assumed that your position (keep your plan, pay penalty) is correct, but there still could be more specific guidance on this item.

If he is correct, this is like almost every other provision in Obamacrap and is subject to the whims of whoever the HHS Secretary is at the time.

Like anything else in this trash heap, it is subject to legislative modification or repeal as well as judicial review.

 

[Dave020]

This is interesting. Anthem CA member services has been telling people buying or moving to new NGF plans that the plans available today will be able to stand on their own into PPACA (not required plan redesign nor plan movement to precious metals QHPs). I talked about this with RSM and we agree that it's not such a sure thing.

At the same time they have been telling people who have plan change options under two CA settlements (Serencsa and Feller) to stay on the GF plan so they don't get pooled with a bunch of unhealthy people come 2014.

 

[Yagents]

NAHU didn't really have a good response due to the uncertainty of HHS guidance. But here is their vague response:
[FONT=&quot]There is a call for some phasing in of changes – to avoid the sudden price jump that may result. It remains unclear if this can be done by regulation or if legislation will be required. It also is unknown if regulators will pursue it – but, it's being discussed[/FONT]

 

[somarco]

sudden price jump

What happened to the promise of Obamacrap LOWERING everyone's premiums? Was that a cruel joke?

 

[taterpeeler]

NAHU didn't really have a good response due to the uncertainty of HHS guidance. But here is their vague response:
[FONT=&quot]There is a call for some phasing in of changes – to avoid the sudden price jump that may result. It remains unclear if this can be done by regulation or if legislation will be required. It also is unknown if regulators will pursue it – but, it's being discussed[/FONT]

Nahu...worthless as tits on a boar hog