AHIP Statement on ACA Implementation

AHIP Statement on ACA Implementation 

Ignagni: “The focus needs to be on affordability” 

Washington, D.C. – America’s Health Insurance Plans (AHIP) President and CEO Karen Ignagni released the following statement on proposed rules released today by the U.S. Department of Health and Human Services on implementation of the Affordable Care Act (ACA):

“As implementation of the ACA moves forward, the focus needs to be on affordability for consumers and employers. We appreciate that the proposed rules issued today seek to minimize coverage disruption and we look forward to working with the department to achieve this goal.

“For health insurance exchanges and new insurance market rules to work, coverage needs to be affordable and there needs to be broad participation in the system.  While additional flexibility on essential health benefits (EHB) is a positive step, we remain concerned that many families and small businesses will be required to purchase coverage that is more costly than they have today.  It also is important to recognize that the new EHB requirements will coincide with the new restrictions in age rating rules that also go into effect on January 1, 2014.  Both of these provisions may incentivize young, healthy people to wait to purchase insurance until they are sick or injured, driving up costs for everyone with insurance.

“We are currently reviewing the proposed regulations and look forward to submitting detailed comments.  We also will continue to work with members of Congress to repeal the law’s $100 billion tax on health insurance that will further add to the cost of coverage for families, small businesses, Medicare Advantage beneficiaries, and Medicaid managed care plans.”

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