If you’re in California, then please sit up and pay attention ’cause this one’s for YOU!
The new federal “stealth” care reform laws specify that by 1/1/14, health insurance “exchanges” in every state must be implemented. The exchanges will allegedly be designed as a health insurance online mall, giving consumers better tools to compare and buy individual health insurance plans.
In California, there are currently 2 bills pending in Sacramento — AB1602 and AB 900 — which will establish the CA Exchange NOW! These 2 bills are being rushed through the legislature. Isn’t that a good thing, you may ask. No! The Insurance Mom believes these 2 bills must be vetoed by The Governator. Here’s why and what you can do to help:
The Insurance Mom wants you to send a fax to the Governor’s office @ 916-558-3160 TODAY. Tell him you do NOT want more of your money spent without your permission! Say ‘NO’ to AB1602 and AB900.
AB1602 and AB900 WILL HARM Health Care AND California’s ballooning Budget Deficit. Tell the Governor that you know the Exchanges don’t have to be operational until 1/1/14. Ask why the CA legislature is rushing these 2 badly written bills through the process and why they aren’t taking their time to do it right!
In this era of public employee pension spiking and salary scandals – like what we’ve seen in the City of Bell – the last thing California needs is another government agency with the power to tax and spend without oversight.
The Health Benefits Exchange will be a huge state bureaucracy – The Exchange Board – with broad, enormous authority and no oversight or accountability.
If signed, these bills could lead to increased costs for millions of Californians seeking health insurance and unnecessary costs to the state.
The bills grant the Board a broad exemption from personal liability and do not require the Board or its staff to have a fiduciary duty to the Exchange (they’ll be spending your tax dollars however they like). The Board can set salaries for its top executives without being subject to state civil service pay rules (they’ll be able to give themselves raises whenever they like). Some of the Board’s deliberations are exempt from the state’s public meeting laws (closed door decision making about your tax dollars). The Board can set its own budget, retain reserves and levy an assessment to cover its budget – all without legislative oversight.
The assessment to administer the program, which could exceed $1 billion, will be passed on to low and moderate income Californians, who under the law, have to buy insurance through the Exchange in order to get a federal subsidy.
Finally, the bills grant the Board the power to set mandated benefit levels and establish its own contracting rules outside the normal regulatory review process by which other state agencies must abide. In other words, the Exchange Board doesn’t have to follow the rules mandated by the State for other insurance outlets.
The Insurance Mom wants you to send a fax to the Governor’s office @ 916-558-3160 TODAY. Tell him you do NOT want more of your money spent without your permission! Say ‘NO’ to AB1602 and AB900.
