Our nation's healthcare system is large, complicated and ever changing. And within the next few years, states will take up the challenge of rolling out their own insurance exchanges.
These federally subsidized health insurance plans will be purchased by individuals in order to make health coverage more accessible, in keeping with a new requirement from the Affordable Care Act (ACA).
Blogger Justin Katz wrote a post this week on the state-government healthcare exchanges, specifically looking at Rhode Island's journey in the new order. He explained it as a "bait and switch" type method of change, where he asserts the state should be able to get someone to pull the necessary documents and deploy a tweaked search engine. All this, he said, should cost under $100,000.
"In addition to the government bureaucrats, we've [Rhode Island] got a former lawyer, a former health insurance executive, a former doctor, two executives from businesses that offer related technology services, three paid activists and the obligatory union representative," Katz wrote. "Not present is a single person who looks apt to approach this sly government power-grab from the perspective of Rhode Islanders' civil rights (in the government-limiting sense) or of protecting the free market or taxpayers' wallets."
Katz's blog has received over 20 comments. One commenter, username @mangeek, refuted the $100,000 investment the states should put in.
"I think there's massive confusion about what the 'exchange' actually is," @mangeek said. "Some folks seem to think it's just a website to allow for easy shopping. My understanding is that it's far more in-depth."
@Mangeek goes on in a later comment to explain how, in his opinion, the problem isn't confusion about the plans or ability to access the 'buy now' button, it's the cost of the plans. "These exchanges don't seem to do anything about that; they seem to make it worse, actually."
Another blog commenter, @Lee, is a radio talk show host in Rhode Island, who in the past spoke with legislators about the topic. He remarked that the bottom line of the situation, specifically in Rhode Island, is that is creates another level of bureaucracy.
"[It will create] some good-paying jobs for the few and absolutely no ability to provide affordable health insurance choices for individuals and small businesses in RI. Re-packaged spin is what it appears to be at this point in time."
User @Bill believes there is a paradox to the Rhode Island insurance exchange. "The great irony, of course, is that the bill to create this exchange was derailed by the folks on the fringe-right who think their religion should dictate which type of health coverage people in RI should be allowed to choose. Thus, the executive order."
I had the chance of speaking with Justin Katz about his blog post, and the controversy that surrounds the Rhode Island healthcare exchange program.
Katz believes the states legislature was predisposed to put this in action, but the legislators themselves got stuck on the actual amendment that would have prevented taxpayers from subsidizing certain plans.
"I can't speak of other states, but the exchange is particularly ludicrous in Rhode Island," Katz maintained. "Given the state's price controls and affection for heavy-handed regulation, only three insurers are willing to operate in the state. Supporters of the exchange clearly envision it as a means of imposing further restrictions on health plans, which seems more likely to reduce options, rather than expand them."
What is your state doing to prepare for the healthcare insurance exchanges? What should federal authorities keep in mind when working through this? Comment below and follow us on Twitter @HFNewsTweet to share your thoughts.