Universal Health Care

Report Concludes Massachusetts Could Achieve Universal Health
Coverage in Four Years Massachusetts could achieve
universal coverage in four years with a relatively
modest increase in public investment, according to a
series of new reports by the Urban Institute.
The reports detail a phased-in implementation
plan for extending health coverage to everyone
in the Commonwealth.They recommend the state
begin by implementing several measures to make
health insurance more affordable for small
businesses and low- and moderate-income families.
Three options are then outlined to achieve universal coverage:
a requirement that individuals purchase health insurance; or
two different options that would combine a requirement
that individuals purchase coverage with a requirement
that employers either offer health coverage or pay a fee
to the state.

The reports were released today at a Blue Cross

Blue Shield of Massachusetts (BCBSMA) Foundation summit
at the JFK Library gathering leaders from government,
health care, business, labor and advocacy communities
for a town hall-style meeting to build consensus around
health care reform in Massachusetts and
expanding health coverage in the state.
The reports are the final products of the
Blue Cross Blue Shield of Massachusetts (BCBSMA)
Foundation's "Roadmap to Coverage"
initiative funded by Blue Cross
Blue Shield of Massachusetts with additional support from Partners
HealthCare. The research and policyanalysis has been conducted by the
Washington D.C.-based, non-partisan Urban Institute.

"Compared to other states,Massachusetts is uniquely
positioned to expand coverage to the uninsured,"
said John Holahan, Ph.D., a lead author of the study
and director of the Urban Institute's Health Policy Center.
"Given the state's strong base of coverage and long-standing
commitment to financing care for the uninsured, Massachusetts
could be the first state in the nation to solve this problem.
The relatively modest public investment required to achieve
universal coverage would be far exceeded by the economic
benefits."

Achieving Universal Coverage:
Multiple Paths

According to the
Urban Institute researchers, in order to begin the process
of reaching universal coverage the state needs to first
introduce a series of "building blocks" to
expand coverage. The building blocks include:

-- An expansion and
simplification of the state's Medicaid program
for the lowest-income individuals and families;

-- State tax credits for low- and moderate-income
workers and families to help buy private health insurance;

-- A public "reinsurance"
program to lower premiums for smaller employers by paying
for a portion of the most expensive cases; and

-- A voluntary purchasing pool
to administer the new tax credit subsidy and to bargain on behalf
of low-income families and small, low-wage firms.

While these measures would significantly decrease the
number of uninsured in the Commonwealth, they would not
result in universal coverage. The Urban Institute researchers
analyzed three possible paths to universal coverage building
on this foundation. The paths are:

-- A requirement that all individuals purchase health
insurance.

-- A requirement that all employers except the smallest
(firms with fewer then 10 employees would be exempt) offer health
coverage or pay a fee to the state, coupled with a requirement that
individuals purchase coverage.
-- A requirement that all employers with more than 500 employees offer
health coverage or pay a fee to the state, coupled with a requirement
that individuals purchase coverage.
The Urban Institute's analysis of these options estimate that
Massachusetts could cover all of its uninsured residents
for between $700 million and $900 million in new government
spending, while producing $1.5 billion in economic and social
benefits due to improved health as well as other positive effects
on the state's economy.

Earlier analyses by the Urban Institute for the Foundation's
Roadmap to Coverage initiative concluded that there were
532,000 uninsured people in the state, and the Commonwealth's
hospitals, physicians, and community, health centers were providing more
than $1 billion a year in care to patients without insurance. Much of
the funding supporting care for the uninsured could be reallocated
to fund an expansion of coverage, they concluded.

Roadmap to Coverage

The "Roadmap to Coverage," is a BCBSMA Foundation
initiative to inform the debate about how to best
provide health coverage for the uninsured in Massachusetts
and generate a practical roadmap for extending health
coverage to most, if not all, residents of the Commonwealth.
Major funding for the project was provided by
Blue Cross Blue Shield of Massachusetts with additional
support from Partners HealthCare.

In November 2004, the Foundation released an Urban Institute
analysis of what Massachusetts currently spends on care for the
uninsured, who pays for it, and how much full coverage would
add to medical spending. In June 2005, the Foundation released
the second report of the initiative which examined
options for expanding coverage and convened
Governor Romney, Governor Baldacci of Maine,
and health care leaders from other states to review
and discuss the choices and tradeoffs associated with
different coverage expansion options.

All of the Roadmap reports
are available online at
www.roadmaptocoverage.org.

The Blue Cross Blue Shield
of Massachusetts Foundation

Since its inception in 2001, the Blue Cross Blue Shield
of Massachusetts Foundation (www.bcbsmafoundation.org)
has awarded grants of more than $12 million to spark
innovation and strengthen services for uninsured and
low-income individuals and families in Massachusetts.
The Foundation is governed by it own 17-member Board of
Directors and operates separately from
Blue Cross Blue Shield of Massachusetts.
The Foundation has an endowment of nearly $75 million making
it one of the largest health philanthropies
in Massachusetts.

The Urban Institute

The Urban Institute is a Washington D.C.-based,
nonprofit, nonpartisanpolicy research and
educational organization established to examine
the social, economic, and governance problems
facing the nation.

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Published: 2005/10/07 09:00:00 CDT

© RedOrbit 2005
e health insurance
more affordable for small businesses
and low- and moderate-incomefamilies. Three options are
then outlined to achieve universal
coverage: a requirement that individuals purchase health
insurance; or two different options that would combine a
requirement that individuals purchase coverage with a requirement
that employers either offer health coverage or pay a fee to the state.

The reports were released today at a Blue Cross Blue Shield of
Massachusetts (BCBSMA) Foundation summit at the JFK Library gathering
leaders from government, health care, business,
labor and advocacy communities for a town hall-style meeting
to build consensus around health care reform in
Massachusetts and expanding health coverage in the state.
The reports are the final products of the Blue Cross
Blue Shield of Massachusetts (BCBSMA) Foundation's
"Roadmap to Coverage" initiative funded by
Blue Cross Blue Shield of Massachusetts with
additional support from Partners HealthCare.
The research and policy analysis has been conducted
by the Washington D.C.-based, non-partisan Urban Institute.

"Compared to other states, Massachusetts is uniquely
positioned to expand coverage to the uninsured," said John
Holahan, Ph.D., a lead author of the study and director of
the Urban Institute's Health Policy Center. "Given the state's
strong base of coverage and long-standing commitment to
financing care for the uninsured, Massachusetts could be the first
state in the nation to solve this problem. The relatively modest
public investment required to achieve universal coverage would
be far exceeded by the economic benefits."
Achieving Universal Coverage:
Multiple Paths

According to the Urban Institute researchers, in order to begin
the process of reaching universal coverage the state needs to first
introduce a series of "building blocks" to expand coverage.
The building blocks include:

-- An expansion and simplification of the state's Medicaid program
for the lowest-income individuals and families;

-- State tax credits for low- and moderate-income
workers and families to help buy private health insurance;

-- A public "reinsurance" program to lower premiums for smaller
employers by paying for a portion of the most expensive cases; and

-- A voluntary purchasing pool to administer the new tax credit
subsidy and to bargain on behalf of low-income families and small,
low-wage firms.

While these measures would significantly decrease the
number of uninsured in the Commonwealth, they would not
result in universal coverage. The Urban Institute researchers
analyzed three possible pathsto universal coverage building
on this foundation. The paths are:

-- A requirement that all
individuals
purchase health insurance.

-- A requirement that allemployers except the smallest
(firms with fewer then 10 employees would be exempt)
offer health coverage or pay a fee to the state, coupled
with a requirement that individuals purchase coverage.

-- A requirement that all employers with more than 500 employees
offer health coverage or pay a fee to the state, coupled with
a requirement that individuals purchase coverage.

The Urban Institute's analysis of these options estimate that
Massachusetts could cover all of its uninsured residents for
between $700 million and $900million in new government spending,
while producing $1.5 billion in economic and social benefits due
to improved health as well as other positive effects on the
state's economy.

Earlier analyses by the Urban Institute for the Foundation's
Roadmap to Coverage initiative concluded that there were 532,000
uninsured people in the state, and the Commonwealth's hospitals,
physicians, and community health centers were providing more than
$1 billion a year in care to patients without insurance.
Much of the funding supporting care for the uninsured could be
reallocated to fund an expansion of coverage, they concluded.

Roadmap to Coverage

The "Roadmap to Coverage," is a BCBSMA Foundation initiative to
inform the debate about how to best provide health coverage for
the uninsured in Massachusetts and generate a practical roadmap
for extending health coverage to most, if not all, residents of
the Commonwealth. Major funding for the project was provided by
Blue Cross Blue Shield of Massachusetts with additional
support from Partners HealthCare.
In November 2004, the Foundation released an Urban Institute
analysis of what Massachusetts currently spends on care for
the uninsured, who pays for it, and how much full coverage would
add to medical spending. In June 2005, the Foundation released the
second report of the initiative which examined options for
expanding coverage and convened Governor Romney, Governor Baldacci
of Maine, and health care leaders from other states to review and
discuss the choices and tradeoffs associated with different coverage
expansion options.

All of the Roadmap reports are available online at
www.roadmaptocoverage.org.

The Blue Cross Blue Shield
of Massachusetts Foundation

Since its inception in 2001 the Blue Cross Blue Shield of
Massachusetts Foundation (www.bcbsmafoundation.org)
has awarded grants of more than $12 million to spark
innovation and strengthen services for uninsured and
low-income individuals and families in Massachusetts.
The Foundation is governed by it own 17-member
Board of Directors and operates separately from
Blue Cross Blue Shield of Massachusetts.
The Foundation has an
endowment of nearly $75 million
making it one of the largest
health philanthropies
in Massachusetts.

The Urban Institute

The Urban Institute is a
Washington D.C.-based,
nonprofit, nonpartisan
policy research and
educational organization
established to examine the
social, economic, and governance
problems facing the nation.

Story from REDORBIT NEWS:
http://www.redorbit.com
/news/display/?id=263912

Published: 2005/10/07 09:00:00 CDT

© RedOrbit 2005