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|Articles - December 2011|
|Tuesday, November 15, 2011|
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Small-business and consumer advocates raise their own concerns about affordability and accessibility. Outreach to rural and minority communities will be a challenge, says Gonzalez. He would also like to see the small-business tax credit expand to businesses with employees making up to $75,000. “We hope no business is priced out because they want to attract good employees,” he says.
Back to the million-dollar question. Will the exchange help control or drive down the cost of health insurance? That has yet to happen in Massachusetts or in Utah, where small-business insurance inside the exchange is actually more expensive than outside. As for Oregon — in October, the consumer advocacy group OSPIRG released a nationwide study of exchange initiatives, ranking the Oregon law a B minus. One weak point, says Laura Etherton, OSPIRG’s health policy advocate, is “the legislative language failed to direct the exchange to lower costs.”
The exchange will eventually have an impact on cost, just not directly, King and others respond. That’s in part because because federal law requires identical plans sold inside and outside the exchange to have identical premiums. Also, as King points out, the Oregon Insurance Division must approve all health-insurance rates and increases. As a result, Oregon already boasts “the most robust rate approval process in the nation,” according to King. What’s more, Oregon isn’t Kansas, which is one of several states that has only one small-business carrier. About seven carriers serve Oregon’s small group market.
In short, since Oregon is already home to a competitive yet heavily regulated insurance market, the exchange on its own is unlikely to bring prices down. Why isn’t that a deal killer? Contrary to popular opinion, says King, the reason insurance rates are increasing 5%-10% a year isn’t because carriers “are taking the money and pocketing it.” Instead, he says, “service delivery reforms” are the key to controlling health-care expenses.
Unlike Massachusetts and Utah, Oregon’s exchange is not unfolding “in a vacuum… but is part of a whole chain of things happening to address quality and cost,” says Christofferson. One is the development of a new health-care model called the Coordinated Care Organization, which will integrate physical mental and dental services for more than 600,000 Oregonians under the Oregon Health Plan. Subject to approval by the Legislature, the first CCO would launch next July, with a projected savings of $239 million next biennium. Then there is the “health-engagement model,” a pilot available through the Public Employees Benefit Board, linking health coverage to behavioral changes by the participant.
As these and other new initiatives get established, King says, the goal is to fold them into the exchange, where application on a larger scale will further reduce the cost of care. In 2016, the exchange will be open to businesses with 100 employees, and in 2018 to firms with more than 100 employees.
But first things first. “Coming out of the box, with zero enrolled, we can’t negotiate,” King says. “Once I get 300,000 lives in there, we’ll have leverage to move the market.” According to Sabrina Corlette, a research professor at the Health Policy Institute and Georgetown University in Washington, D.C., Oregon is “at the vanguard of the rest of country” precisely because officials are thinking about the exchange “as a mechanism to get delivery system reforms.”
But whether enough businesses and individuals will enroll, whether federal health law will be overturned, and whether the exchange will languish as little more than a web portal, are the uncertainties clouding the future. In that regard, Chris Ellertson, president of Health Net Health Plan of Oregon Inc., speaks for both insurance carriers and purchasers when he says: “We believe there’s going to be some good that comes from the exchange. But there are a lot of question marks, a lot of things that are hard to predict.”
Wednesday, August 05, 2015
BY KEN MAES
A huge migration from Northern California has contributed to average 16% growth per year since 1990.
Wednesday, August 19, 2015
BY BRIAN LIBBY
Ben Kaiser holds his ground.
Wednesday, July 15, 2015
Oregon's roads are crumbling, and revenues from state and local gas taxes are not sufficient to pay for improvements. We asked readers if the private sector should help fund transportation maintenance and repairs. Research partner CFM Strategic Communications conducted the poll of 366 readers in February.
Wednesday, August 19, 2015
BY KIM MOORE
A conversation with Chris Maples, president of the Oregon Institute of Technology.
Tuesday, July 28, 2015
BY JASON NORRIS
Uncertainty in Greece and China, along with potential interest rate hikes mean investors are looking at the market and nervously questioning where they should be invested.
Monday, July 13, 2015
BY KIM MOORE
Revenues in Oregon's private, for profit sector maintained solid growth as the economy continued to rebound.
Friday, July 10, 2015
BY AMY MILSHTEIN
When gossip crosses the line.
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Yesterday, a divided National Labor Relations Board dropped another hammer on the employer community. In a long-awaited and much debated move, the Board jettisoned the decades old standard for determining when two independent businesses should be considered joint employers of an individual worker for collective bargaining purposes.
Transforming the culture of Oregon’s educational leadership.
The Board dismissed a petition related to efforts to unionize the Northwestern University football team.
Oregon Sick Leave is here, and changes to the federal white-collar worker regulations are on the way. This workshop will prepare you for both. We invite you to participate in an interactive discussion on how to start planning now for the future impact on your operations and finances.
Presented by OEN + CENTRL + YESpdx.
This Roundtable will cover numerous issues under the employer "shared responsibility" rules of the Affordable Care Act, including how to track the "full-time" status of variable-hour employees, temporary or seasonal employees, and employees who experience a change in status or a break in service. Additionally, we will provide a brief overview of Code sections 6055 and 6056, which require most mid-sized and large employers to submit their first information reports to the IRS in early 2016 regarding the health insurance coverage being offered to employees. We invite you to participate in an interactive discussion on how to prepare for the future impact of the shared responsibility rules on your operations and finances.