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HIX Digest for the week of November 26, 2012

By Healthcare Finance Staff

In this week's HIX Digest, the tab for Minnesota's exchange is growing; Oregon takes public comment on proposed rules; and IT vendor Connecture unveils a plan management module for regulators.

Estimates for Minnesota HIX reach $54 million for 2015

Minnesota Democratic Governor Mark Dayton has upped his administration's estimates for the costs of the state's health insurance exchange, now pegging it at $54 million for 2015 and $64 million for 2016.

Dayton was one of the only governors to create an HIX via executive order, and his administration took flak from business groups earlier this year amid scant details on the costs and regulatory scope of the HIX.

Dayton's administration previously said the HIX would $30 million to $40 million a year, and has now raised it to $54 million for 2015 in its federal blueprint proposal.

As Minnesota Public Radio and Kaiser Health News reported, state officials are mulling a few revenue sources, including user fees, sin taxes and advertising sales.

The Dayton administration is also seeking another $39 million in federal grants, on top of the $71 million it's received to fund HIX implementation and operations through 2014.

Oregon taking public comment on proposed bronze and silver plans

The Oregon Department of Consumer and Business Services is holding public hearings and soliciting public and stakeholder input on proposed rules for individual and small group health plans sold in and outside Cover Oregon, the state HIX.

The proposals are for bronze and silver health plans, equivalent in actuarial value to 60 percent and 70 percent respectively of the state's essential health benefits benchmark.

The bronze individual plan has a $3,500 no-drug deductible, a $35 co-pay for primary care visits and a $70 co-pay for specialist visits. The bronze small group plan has a $2,000 no-drug deductible, with $45 and $90 co-pays for primary care and specialist visits.

The silver individual plan has $2,000 no-drug deductible, with $15 and $35 co-pays; the silver small group plan has a $1,500 no-drug deductible, with $35 and $60 co-pays.

IT firm offering HIXs health plan management module

The Wisconsin-based IT and tech firm Connecture has announced the release of a health plan management software module, originally part of the company's StateAdvantage software suite.

State agencies can use the module for health plan certification, compliance monitoring, renewal and rate collection.

Connecture says the module will be useful to a variety of states, not just ones creating their own HIX, because states operating partnership exchanges have jurisdiction over plan management and consumer assistance.

Connecture president Dan Maynard said in a press release that the product can help bring "more choices for taxpayers, a streamlined process for carriers and compliance with federal law."

Connecture is building Minnesota's and Maryland's HIXs and is also offering a web-based administration platform geared towards the retail insurance market, in a shared-services partnership started by Blue Cross Blue Shield of Kansas City and Blue Cross Blue Shield of North Carolina.

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