Navigation Links
How National Health Reform Proposals Would Affect Employer-Based Plans in California
Date:12/16/2009

BERKELEY, Calif., Dec. 17 /PRNewswire-USNewswire/ -- If proposed health care legislation is enacted, it would set new standards in the employer-based insurance system. Approximately 18.4 million Californians and 161 million Americans under the age of 65 rely upon employer-based insurance for their health care coverage.

Both House and Senate versions of reform legislation entail specific requirements for employer-based insurance. While the vast majority of employees work for firms that currently comply with most new standards, reform legislation, if passed, would increase protection for many insured workers and their families in California. Firms that buy insurance in the small group market will be most affected by these changes.

A study based on a 2009 survey of 827 private firms with establishments in California finds that:

  • The House bill would set limits on out-of-pocket expenses for all employer based plans; the Senate bill would do so for non-self-insured plans. 23 percent of California workers covered by employer plans currently have plans with no out-of-pocket limit, or a limit above those proposed in the bills.
  • Lifetime maximum limits on benefits received under an employer plan would be eliminated for about 40 percent of Californians with job-based coverage under both of the bills. Since 89 percent of plans with maximum lifetime limits in 2009 had limits of $2M or more, the impact of this change will be minimal on most employers but meaningful for those employees who meet the limits.
  • Both House and Senate bills stipulate that preventive benefits should not be subject to any cost-sharing, including a deductible. About ten percent of California insured workers are enrolled in a plan where preventive benefits are subject to a deductible.
  • The House bill would require all employer plans to provide prescription drug coverage; the Senate bill would require small employers to do so. Currently 99 percent of Californians enrolled in an employer plan already have coverage for prescription drugs.
  • 98 percent of employees with job-based coverage are in plans that pay at least 60 percent of medical costs on average, the minimum standard in the Senate bill.
  • In the Senate bill, the waiting period for eligibility for coverage would be limited to 90 days. Currently, about six percent of covered workers are employed by a firm that requires more than 90 days to wait for eligibility.
  • The Senate bill excise tax on high-cost plans would affect at least 17 percent of insured workers with single coverage and 14 percent with family coverage, with PPO plans and plans in the San Francisco area the most likely to be subject to the tax.
  • Employer contributions toward the cost of coverage do not currently meet the contribution standard proposed by the House for 12 percent of single coverage enrollees and about 32 percent of family coverage enrollees.

About the Study

Data for this study are from the 2009 California Employer Health Benefits Survey sponsored by the California HealthCare Foundation (CHCF) and conducted by the National Opinion Research Center (NORC) at the University of Chicago. The 2009 study data are from 827 private firms with establishments in California.

California HealthCare Foundation (CHCF) and the National Opinion Research Center (NORC) jointly produce the California Employer Health Benefits Survey. Researchers at NORC design and analyze the survey results. National Research LLC (NR) administers the telephone survey. Findings are from a random sample of 827 interviews with employee benefit managers in private firms in California. NR conducted interviews from April to July 2009. The sample of firms was drawn from the Dun & Bradstreet list of private employers with three or more workers. The margin of error for responses among all employers is +/- 3.4 percent.

Related Publication

Gabel, J., Jacobs, K., Tan, L., McDevitt, R., Pickreign, J., and KC, S. December 2009. "National Health Reform Requirements and California Employers." Issue Brief. Berkeley, CA: UC Berkeley Center for Labor Research and Education.

About the National Opinion Research Center at the University of Chicago (NORC)

NORC, known since its founding in 1941 as the National Opinion Research Center, pursues objective research in the public interest. NORC has offices on the University of Chicago campus and in Chicago's downtown Loop and Bethesda, Maryland. http://www.norc.org

About the UC Berkeley Center for Labor Research and Education

The Labor Center is a public service and outreach program of UC Berkeley's Institute for Research on Labor and Employment (IRLE), conducting research and education on issues related to labor and employment, and working with unions, government, and employers to develop innovative policy perspectives and programs. http://www.irle.berkeley.edu/

SOURCE NORC at the University of Chicago


'/>"/>
SOURCE NORC at the University of Chicago
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Tyco International Files Preliminary Proxy Proposing Election of New Director
2. Medizone International, Inc. Approves Repurchase of Global Marketing Rights
3. Accelify Announces the Addition of David Tokofsky to its National Board of Advisors
4. Reportlinker Adds In-Vitro Diagnostic Substance Manufacturing Industry in the U.S. and its International Trade [Q4 2009 Edition]
5. Aon Consulting Adds Senior Vice President to National Pharmacy Practice
6. Health Reform Needs Enforceable National Workforce Strategy
7. PRA International Appoints Shannon as CEO
8. BaylorHealth.com Wins National Healthcare Website Awards
9. Baylor Health Care Systems Patient Testimonial Ad Campaign Wins National Award
10. IOM report on national vaccine plan
11. National Oncologist Group Warns: Current Health Care Reform Legislation Woefully Short In Addressing Cancer Care Crisis
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:5/30/2016)... ... May 30, 2016 , ... ... today the publication of an original infographic, " Health Benefits Reimbursement Compliance Timeline ... understand how Zane Benefits complies with various federal regulations and reforms. , Navigating ...
(Date:5/30/2016)... ... ... Another ER facility operated by First Choice Emergency Room opened yesterday ... is open 24 hours daily. , First Choice Emergency Room hosted a ribbon cutting ... High School band entertained attendees and accepted First Choice Emergency Room’s donation on behalf ...
(Date:5/29/2016)... ... May 29, 2016 , ... Whole Health Supply is happy to announce ... clipper is available to the public. This is an unusual clipper because it opens ... average clipper. , Everything about this product is concentrated on ease of use, functionality ...
(Date:5/28/2016)... ... May 28, 2016 , ... SuperCloset is proud to officially ... the day to day issues, struggles and obstacles veterans’ need to overcome in order ... Project provides active or retired military veteran(s) with a donated SuperCloset product based on ...
(Date:5/28/2016)... ... May 28, 2016 , ... May 26, 2016- In ... Arts Fighting Challenge with theme event of “K Warriors” on June 4, 2016 at ... , The event is sponsored and hosted by Shaolin Institute and sanctioned by ...
Breaking Medicine News(10 mins):
(Date:5/25/2016)... CAMBRIDGE, England , May 25, 2016 /PRNewswire/ ... genomics company employing the precision of circulating tumour ... oncology, today announces the appointment of Professor ... will provide medical leadership across the clinical development ... that Inivata,s products help deliver significant improvements in ...
(Date:5/24/2016)... AMSTERDAM , May 24, 2016 ... auf den Markt gebracht, die es Ärzten erlaubt, ... überall zu behandeln: MDLinking kombiniert Live Streaming mit ... sicheren Umfeld zu kommunizieren. Mediziner in Europa, Afrika, ... haben sich bereits für die Plattform registriert. ...
(Date:5/24/2016)... , May 24, 2016 ... beide primären Endpunkte und demonstriert ... in ‚ausgezeichneter plus guter , ...    ,      (Logo: http://photos.prnewswire.com/prnh/20130829/633895-a ... heute neue positive Daten von der MORA-Studie der ...
Breaking Medicine Technology: