District 8 Blog Spot

The Massachusetts Health Care Reform Law, also known as the Massachusetts mandatory health insurance law, was passed in 2006 and offers an opportunity for the rest of us to learn what works and doesn’t work (at least in Massachusetts!) In implementing this law, the state of Massachusetts has tried to coordinate systems, such as Medicare, that are already in place. The law seems also to have preserved some choices for people.     It provides subsidized health care for residents earning up to 100% of the Federal poverty level (around $21,000 for a family of 4), and partially subsidized care for those earning up to 300% of the Federal poverty level. Residents and small businesses are assisted to purchase appropriate health insurance plans through Commonwealth Health Insurance Connector Authority or “Health Connector.” Those who do participate in an insurance plan are given a $219 tax rebate; those who do not participate are not eligible for the rebate.   The law was passed to address the need of the estimated 6% of the Massachusetts population that was uninsured. It was not easy getting lawmakers and other stakeholders to agree on what was needed and what would work. One broad concept agreed upon was the principle of shared responsibility. Another principle in the law is that of providing “credible” coverage, or coverage that was both affordable and adequate for lower income residents. Besides creating The Connector, the law also required employer participation, non-discrimination rules, and mandatory coverage for all. Mechanisms were put in place to control costs while improving quality of health care.    What the law did –* continued and expanded upon employer sponsored health insurance as the primary source of coverage for Mass. residents workers.* encouraged pre-tax treatment of health insurance premiums for employees * made it easier for individuals and employers to participate in health care coverage and also introduces financial penalties for not participating * creates standards of adequacy and affordability of new, state-endorsed insurance plans. It expands public programs for people without access to employer sponsored health insurance* moved uninsured people form uncompensated care to insured care * maintains the health care safety net for uninsured people who cannot afford, or who are ineligible for, health insurance.    Within its first year, 122,000, or about one-third of Massachusetts’ uninsured gained health insurance coverage  Commonwealth Choice plans became available for small businesses (up to 50 employees) October 1, 2007    The Kaiser Family Foundation has an “uninsured” webpage which includes a fact sheet on the progress of the Massachusetts law. http://www.kff.org/uninsured/7494.cfm     For more information, you can Google “Massachusetts Health Care Reform Law” or look at a one-year report at http://masshealthpolicyforum.brandeis.edu/publications/pdfs/31-May07/MassHealthCareReformProgess%20Report.pdf