Trying to Understand Health Care Reform

I spent a couple of hours last week attending an informational seminar on Health Care reform, the Patient Protection and Affordable Care Act.

We were provided a timelime of the implementation dates for key provisions. The timeline begins in 2010 through 2018. The number of pages of this bill is over 2000 pages, which we were told is really just an outline. When finished, it could be well over 200,000 pages.

Some of the changes taking place in 2010 are:

• Provide dependent coverage for adult children up to age 26 for all individual and group policies.
• Prohibit individual and group health plans from placing lifetime limits on the dollar value of coverage and prior to 2014, plans may only impose annual limits on coverages determined by the Secretary.
• Prohibit insurers from rescinding coverage except in cases of fraud and prohibit pre-existing condition exclusions for children
• Establish a process for reviewing increases in health plan premiums and require plans to justify increases.*
• Provide a $250 rebate to Medicare beneficiaries who reach the Part D coverage gap in 2010 and gradually eliminate the Medicare Part D coverage gap by 2020.
• Authorize the Food and Drug Administration to approve generic versions of biologic drugs and grant biologic manufacturers 12 years of exclusive use before generics can be developed.

*Anthem Blue Cross who was in the crosshairs of the huge rate increases actually was approved by the California Department of Insurance. Why?

The system is broken and with all the new laws, cost containment doesn't seem to be addressed in this legislation.

I am not sure how any or all of this affect you and your families. I feel better keeping you posted and venting a little.

You can reach me at 949-854-3001 or dane@LongTermCareInsurancePros.com

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