Navigation Links
Empire BlueCross BlueShield Fears Senate Health Care Reform Legislation Still Costs New Yorkers Most
Date:12/21/2009

NEW YORK, Dec. 21 /PRNewswire/ -- Mark Wagar, President and CEO of Empire BlueCross BlueShield urged further improvement to the federal health care reform legislation that today does little to control the rising costs of health care and will increase premiums for too many New Yorkers and too many across the nation.

"We urge Congress to not support a bill that will further increase the underlying costs of health care premiums that New York residents pay while, at the same time, subsidizing other states," added Wagar. Additionally, Wagar offers specific congressional actions that will make the most difference to New Yorkers, including:

  • Reducing taxes for those already paying for health benefits and not starting taxes until reform changes take effect
  • A stronger individual mandate for a more basic, minimum benefit package -- potentially reducing New Yorker individual premiums by more than 60 percent
  • Greater investment in real cost and quality improvement measures for health care providers
  • Reducing the disproportional impact of Medicaid cost shifts to the state of New York
  • Addressing the disproportionate share of Medicare cuts New York beneficiaries will shoulder

On Saturday, the United States Senate Majority released its "Manager's Amendment" to the health care reform legislation currently being debated in the U.S. Senate. One provision in the amendment included a multi-billion annual tax that will be levied on the health insurance industry. As stated by the Congressional Budget Office, this tax will get passed on to consumers through higher premiums. The amendment specifically provides that a few not-for-profit health insurance companies will be exempt from this tax -- in essence leaving for-profit plans and most not-for-profit plans and their members, to shoulder the entire tax burden.

What does this mean to the nearly 17 million New Yorkers who have private health insurance?

It means that New Yorkers will have to share the burden of paying what will eventually be a multi-billion dollar national health coverage tax. The legislation is already expected to result in increased premiums -- this provision will only add to this negative impact. New Yorkers with private coverage will be forced to subsidize other states that were exempted from the tax due to the efforts of a few large special interest not-for-profits in certain States.

Any proposal to tax only certain health plans will create an uneven competitive playing field, without improving access to health benefits coverage or enhanced health services. While some plans are technically "not-for-profit", that does not mean they are not "profitable." Insurers are required to generate a "net income" in order to help ensure they can pay future claims by members. In many cases, not-for-profit simply reflects a tax status under the Internal Revenue Service Code and the behavior of not-for-profit and for-profit plans are identical. In fact, in many states, the net income on a per-member, per-month (PMPM) basis for not-for-profit health plans is actually higher than that of the for-profit health plans.

Over time, un-equal taxation will lead to the erosion and potential insolvency of those plans that bear a disproportionate share of the tax, including for-profit plans, as a progressively smaller share of the overall market would bear the burden of sustaining the entire amount of the tax. Perversely, the government will ultimately receive less revenue from the tax when there are fewer entities remaining subject to the tax.

Empire BlueCross BlueShield is the largest health insurer in New York supporting nearly six million members and more than 38,000 business, union and small employers in New York.

About Empire BlueCross BlueShield

Empire BlueCross BlueShield (Empire) is the trade name of Empire HealthChoice Assurance, Inc., and Empire Blue Cross Blue Shield HMO is the trade name of Empire HealthChoice HMO, Inc., independent licensees of the Blue Cross Blue Shield Association, serving residents and businesses in the 28 eastern and southeastern counties of New York State. Additional information about Empire is available at www.empireblue.com

SOURCE Empire BlueCross BlueShield


'/>"/>
SOURCE Empire BlueCross BlueShield
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Empire BlueCross BlueShield Launches Art Heals Program with Museum for African Art, Greater New York Hospital Association
2. Empire BlueCross BlueShield to Support 2011 World Police & Fire Games in NYC
3. Empire Blue Cross Blue Shield Awarded NCQAs Accreditation Status of Excellent
4. Empire BlueCross BlueShield and Stony Brook University Hospital Reach New Multi-year Agreement
5. The Empire State Healthcare Coalition Voices Concern Over the Affordable Health Choices Act
6. Empire BlueCross BlueShield Adds Life Insurance, Becomes Full-Service Benefits Provider
7. Empire Blue Cross Blue Shield to Serve as Host Sponsor for 100 Black Men of America 23rd Conference
8. Hilary Duff to Light Empire State Building Commemorating 24th Annual AIDS Walk New York
9. Taking Action Together Aims to Increase Screenings and Offer Education to People with Diabetes Living in the Inland Empire
10. Empire BlueCross BlueShield Appoints Chief Medical Officer
11. Empire BlueCross BlueShield Associates Commit Over $1 Million to Community Organizations in 2008
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:1/20/2017)... NY (PRWEB) , ... January 20, 2017 , ... ... VW+ 001 and its sugar-free alternative VW+ 002. The drinks have been produced ... with optimal conditions to perform during your workout. , After a successful launch ...
(Date:1/20/2017)... ... ... fine examination of how God handles sin, including how to let go of lingering guilt ... over ten long years has been waiting to release this powerful insight about forgiveness that ... serving the Lord for over twenty years, and he has been preaching and teaching the ...
(Date:1/20/2017)... ... 2017 , ... “Knowledge is God’s Lighthouse”: a moving and colorful collection ... is the creation of published author, Gene Gaapf, a retired truck driver, and a ... have been writing since high school and have many different titles,” Gaapf mentions about ...
(Date:1/19/2017)... ... January 19, 2017 , ... ... an On-demand E-learning system for Clinical and Regulatory education for Physicians, Physician ... on Aerolib`s successful education methodology of Disease Specific Documentation Improvement. , The ...
(Date:1/19/2017)... ... January 19, 2017 , ... This month, the CEO and ... name of their drug rehab center in Delray Beach, Florida has been changed from ... only stars such as Philip Seymour Hoffman and Chris Farley are dying from heroin ...
Breaking Medicine News(10 mins):
(Date:1/19/2017)... BOSTON , Jan. 19, 2017  Stealth BioTherapeutics ... therapeutics to treat mitochondrial dysfunction, today announced new additions ... , M.D., as Chief Medical Officer, and Daniel ... Stealth announced that Jim Carr , Pharm.D. has ... "We are pleased to welcome Doug and Daniel ...
(Date:1/19/2017)... , Jan. 19, 2017  Abaxis, Inc. (NasdaqGS: ... blood analysis instruments and consumables for the medical and ... discuss its financial results for the third quarter fiscal ... be at 4:15 p.m. ET on Thursday, January 26, ... third quarter fiscal year 2017 after the market closes ...
(Date:1/19/2017)... , January 19, 2017 ... announced that the U.S. Food and Drug Administration (FDA) ... a New Drug Application (NDA) for SHP465, a long-acting, ... as a potential once-daily treatment for Attention-Deficit/Hyperactivity Disorder (ADHD). ... or around June 20, 2017, the designated Prescription Drug ...
Breaking Medicine Technology: