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California Health Plans Vital to State's Economy
Date:4/7/2009

Industry Generates 130,000 Jobs and $13.5 Billion in Economic Activity

SACRAMENTO, Calif., April 7 /PRNewswire/ -- California health plans are an essential and vital part of the state's economy, generating 130,000 jobs and $13.5 billion in economic activity, according to a report released today by the California Association of Health Plans (CAHP).

The economic profile prepared by the Taylor Feldman Group, an outside consulting firm with expertise in health care analysis, examined 2008 data and found the health plans also generated $3.8 billion in tax revenues for the state - or 3.4 percent of California's tax receipts.

"In these uncertain economic times, the tax revenues, the jobs and the economic activity generated by California's health plans are an essential and vital part of the state's economy," said CAHP Interim President and CEO Charles Bacchi. "In addition to their important economic contributions, the state's health plans are helping keep Californians healthy by providing high-quality, affordable and accessible coverage to more than 24 million people in the state."

The report released today found California leads the nation in the number of people enrolled in health maintenance organizations (HMOs), with 25 percent of all HMO enrollees living in California. Within the state, three out of every five Californians are enrolled in an HMO.

The economic profile also provides details about some of the prevention programs and statewide initiatives financed through the billions of dollars health plans have contributed to support California's communities. For more information or to obtain a copy of the report, please visit CAHP's website: www.calhealthplans.org.

CAHP is a statewide trade association representing 39 full-service health plans. Through legislative advocacy, education and collaboration with other member organizations, CAHP works to sustain a strong environment in which our member plans can provide access to products that offer choice and flexibility to the more than 24 million members they serve. For more information, please visit www.calhealthplans.org or call (916) 552-2910.


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SOURCE California Association of Health Plans
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