Charlie Crist's health insurance plan draws low cost and guaranteed issue health insurance bids
19 08 08 - 11:52
Crist's health insurance plan draws low-cost bid
By PHIL GALEWITZ - Palm Beach Post Staff Writer
Uninsured adult Floridians could buy health coverage for an average $50 a month from Blue Cross and Blue Shield of Florida under a plan the insurer submitted to the state Tuesday.
The bargain basement price is not the only plus. What makes this plan different from virtually every other health plan sold by Blue Cross and Florida's other health insurers is that it would be "guarantee issue" - Blue Cross won't turn anyone away.
Blue Cross, the state's largest health insurer, was one of nine companies that on Monday submitted insurance coverage plans to Tallahassee under Gov. Charlie Crist's Cover Florida health insurance program.
The program aims to help cover 3.8 million Floridians without health insurance - albeit plans with limited benefits. Insurers can offer lower premiums under the program because it exempts the insurance coverage from more than 50 state-mandated benefits.
Insurers were invited to submit bids to cover the entire state or select counties. They also had to submit one or two plans - one "catastrophic" plan that included hospitalization coverage and one without.
The state will not release details of bids until next month.
UnitedHealthcare, the other statewide carrier to bid on the Cover Florida program, would not disclose details of its bid.
However, Blue Cross said its "non-catastrophic" plan, which would be offered statewide, includes coverage for office visits, drugs and diagnostic tests. The cost will vary by age, but is expected to average about $50.
The company's "catastrophic plan," which includes the benefits of the non-catastrophic plan plus hospital coverage, would average $148 a month, with costs varying by age, county and gender.
"There is no doubt we have met and exceeded the expectations of Gov. Crist," said Chip Kenyon, director of market development for Blue Cross and Blue Shield of Florida.
Several major insurers including Aetna, Cigna and Humana chose not to bid on the program.
Aetna, which had supported Crist's market-based health reform approach, said it did not apply because there were no state subsidies to help people buy coverage and no mandate that everyone have health insurance. Other insurers were turned off by the "guarantee issue" requirement. Insurers typically reject 20 percent of applicants for being too risky.
While the Cover Florida insurance plans have to accept all applicants, insurers don't have to cover pre-existing conditions for the first year.
Other bidders are Total Health Choice Inc., Universal Healthcare, JMH Health Plan, Medica Health Plan of Florida, American Management Advisors and Celtic Insurance Co.
The state plans to negotiate with bidders in the next few months and have Cover Florida plans available by January. To qualify, individuals have to be uninsured for at least six months and be between age of 19 and 64.
Holly Benson, secretary of the Florida Agency for Health Care Administration, said she was pleased with the number of bidders. "I thought it was outstanding," she said. Her agency hopes to select the winners by Oct. 1.
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