The Reinsurance Program would allow the NH Department of Insurance to seek additional federal funds to stabilize the insurance marketplace.
Today, Governor Sununu and New Hampshire Republicans failed to fund the NH Insurance Department’s reinsurance proposal that would protect the benefits of tens of thousands of Granite Staters. The Joint Health Care Reform Oversight Committee moved forward with a proposal from the NH Insurance Department to create a reinsurance program, but failed to authorize any way to pay for it.
“Governor Sununu is shamefully choosing politics over people and New Hampshire will suffer as a result. President Trump’s unpopular decision to sabotage insurance markets in order to implement his even-less-popular plan appears to be spilling over to states with friendly governors like Chris Sununu,” said NHDP Chair Ray Buckley.
“Sununu’s blind cooperation with Trump ignores the fact that reinsurance plans have been successful in lowering premiums, keeping carriers in the market, and creating stability and certainty. By refusing to fund the proposal, the reinsurance program is set up for failure and shows Governor Sununu’s cooperation with Trump in undermining our healthcare system for political gain.”
After the vote, Sen. Martha Fuller Clark (D-Portsmouth), member of the Joint Health Care Reform Oversight Committee, released the following statement:
“Given President Trump’s attempts to undermine our healthcare system and the failure of Republicans in Congress to act, states like New Hampshire need to be doing all we can do to stabilize our healthcare market, increase competition, and drive down costs for Granite Staters.”
“While the Joint Health Care Reform Oversight Committee authorized the NH Insurance and HHS Commissioners to seek federal waivers to create a reinsurance program and to seek all federal funds available to help pay for the program, the Committee rejected, along party lines, the NH Insurance Commissioner’s proposal to help fund the program through an added assessment on our insurance carriers.”
“Without the certainty of funding and the refusal to add an assessment on our state carriers, there’s no way for insurance carriers to reduce premiums, despite the fact that insurance assessments in the past have been used to address failures in our healthcare marketplace. Governor Sununu and his Republican allies are playing dangerous political games with our healthcare system, risking insurance carriers leaving our state, risking higher premiums for our hard-working families, and creating more destabilization in NH’s healthcare system.”
“Healthcare is an issue that affects all Granite Staters and impacts us at all levels of state government. New Hampshire policymakers should not just throw up their hands and give up working on solutions to these problems just because they are hard. It’s disheartening that Governor Sununu and Republicans in the legislature are again defaulting to the dysfunction of Washington and standing alongside President Trump’s attempts to undermine our healthcare system rather than standing with the people of New Hampshire. Real leadership is needed to bring people together to find meaningful healthcare solutions, both here and in Washington. Unfortunately, today’s vote doesn’t solve any of our problems or find any meaningful solutions.”
In light of today’s votes the New Hampshire Insurance Department (NHID) is “cancelling the public hearings scheduled for August 2nd and August 3rd relative to its market stabilization plan and proposed 1332 waiver application.”
“Consistent with today’s vote of the Joint Health Reform Oversight Committee, the NHID will continue to explore options for the 1332 waiver, and will reschedule the hearings once there is more clarity about the specifics of the state’s approach,” wrote the NHID.
Alaska and Minnesota have successfully implemented and funded similar reinsurance programs that will net-lower premiums in their states.
In response to reports of significant projected increases in individual market health care premiums, and a party-line vote by the Joint Health Care Reform Oversight Committee to block an Insurance Department proposal, Representative Ed Butler (D-Hart’s Location), a member of the Oversight Committee, released the following statement:
“President Trump has said repeatedly that he intends to ‘let Obamacare implode.’ In a belligerent act of sabotage, the President is threatening to withhold billions in cost sharing subsidies to insurance companies that are required under federal law. The uncertainty that President Trump has created in the insurance market is a driving force in projected rate increases nationwide.”
“Instead of working with the Insurance Department to submit their full waiver request – including a 1% rate increase assessment on group markets – to achieve the greatest possible reduction in rates in the individual market, New Hampshire Republicans on this Oversight Committee have chosen the path of least resistance.”
“Republicans on the Oversight Committee voted on August 1st to prevent New Hampshire’s Insurance Department from submitting their full waiver request. Instead the Committee authorized the Insurance and Health and Human Services Departments to request financial assistance from the federal government – without any seed money or contribution from NH insurance carriers.”
“Over 35,000 Granite Staters will be subject to spikes in rates of as much as 30 to 40% in the individual market. By opposing commonsense efforts to bring stability to the market, Governor Sununu and Committee Republicans appear willing to use our citizens as scapegoats to achieve President Trump’s desired ‘implosion’ of our health care system.”
For more information on the waivers read the detailed reporting from Manchester Ink Link