Connector Executive Director Jon Kingsdale has prepared a memo to the Connector Board outlining his recommendations for premiums for the Commonwealth Care program.
Materials for the Board meeting are on the ACT health reform implementation page. Included in the materials is a spreadsheet that allows one to determine the impact of the recommended premiums on families of different sizes and incomes, including MassHealth premiums for children.
The new premium levels recommended by Jon Kingsdale are higher than the initial recommendations of the Affordability Committee. This chart shows the comparison:
(percents are rounded; premiums are per month)
| Income Bracket (fpl) | Affordability Committee: Contribution % of income and amount | Kingsdale Recommendation: Contribution % of income and amount |
| 100.1-150% FPL | 1 Adult: 1% ($10) 2 Adults: 1.5% ($20) |
1 Adult: 1.8% ($18) 2 Adults: 2.6% ($36) |
| 150.1-200% FPL | 1 Adult: 2% ($29) 2 Adults: 3% ($57) |
1 Adult: 2.8% ($40) 2 Adults: 4.2% ($80) |
| 200.1-250% FPL | 1 Adult: 3% ($55) 2 Adults: 4.5% ($110) |
1 Adult: 3.8% ($70) 2 Adults: 5.6% ($140) |
| 250.1-300% FPL | 1 Adult: 4.5% ($100) 2 Adults: 6.6% ($200) |
1 Adult: 4.7% ($106) 2 Adults: 7.0% ($212) |
Are these levels affordable for low income families? Initial evidence from the GBIO affordability workshops, where average church and synagogue members were asked to tote up their monthly budgets for essentials, seems to indicate that many uninsured families at this income level just don’t have any discretionary income left at the end of the month.
One distinction could be made between premiums charged for a voluntary program, and the required spending level to be imposed when the individual health insurance mandate becomes effective next July.
What do you think? Use the comments to add to the discussion.
