Over the past three years, health reform implementation has developed a relatively predictable schedule. It is again that time of the year, folks, when we discuss the Commonwealth’s Affordability Schedule.
And so, as we enter the next month of Affordability Schedule discussions and negotiations, we respectfully remind the Connector Board of their charge in crafting the Schedule. The legislative language reads: to review annually the publication of the income levels for the federal poverty guidelines and devise a schedule of a percentage of income for each 50 per cent increment of the federal poverty level at which an individual could be expected to contribute said percentage of income towards the purchase of health insurance coverage.
How much money can an individual, couple, or family “be expected to contribute?” At the risk of sounding cheeky or redundant, I offer the Webster definition of affordable to help shape the conversation: to be able to bear the cost of. Most of what I’d like to say is in last year’s blog, so I encourage you to take another look at how we understand affordability. Our conclusion: “The legislative intent of Chapter 58 is clear – to require purchase of insurance only of those for whom coverage is affordable. We must judge that affordability based on the person, not the product.”
We hope very much that the starting and ending points of the Board discussion on Thursday will be no increase in the Affordability Schedule from last year. Neither the federal poverty level nor the consumer price index is increasing this year. Folks at each income category have no more disposable income than they did last year. So if we got the Schedule right last year, there should be no reason to change it. According to data from the Department of Revenue, 21,000 residents of the Commonwealth over 300% fpl were unable to afford health insurance. If their income has not changed, they are no more able to afford coverage this year than last. An increase in private market health insurance premiums has no bearing on the ability of a family to afford them.
We thank the Connector Board for their serious consideration of this critical issue. And we look forward to working with all health care stakeholders to bend the cost control curve; that is what will help make coverage more affordable for the Commonwealth’s residents.
-Lindsey Tucker
