Florida Health Insurance Advisory Board Meeting Report

 

The Florida Health Insurance Advisory Board (“Board”) recently held a meeting in Fort Lauderdale, Florida.

The meeting was called to order by Chairman and Insurance Commissioner Kevin McCarty with Board members Michael Jackson, Jim Bracher, Randy Kammer, Tony Marco, Leslie Foy, Tamara Meyerson, W. Adam Clatsoff, Bill Herle, Mark Thomas, Goan Gallette and Walter Dartland in attendance.

Chairman McCarty gave a summary of the Board’s activities in 2007 and a general overview of the health insurance market in Florida. To view a copy of the Board’s 2007 Florida Health Insurance Market Report, click here.

The first of four insurers to present a proposal on limited benefit insurance products to the Board was Blue Cross and Blue Shield of Florida (“BCBS”). A representative of BCBS outlined the Company’s Program to serve certain Miami-Dade residents at the poverty level. The goal for this Program is to increase the total number of insured Miami-Dade residents through promotion of primary care practices and a wellness program, while giving the insured a sense of personal responsibility.

BCBS will seek funding for the Program from the Florida Department of Public Health, endowment trust funds, low-income pool funds, private sources and the Public Health Trust.

For 2008-2009, BCBS would seek $20 million in total funding in order to begin offering the Program on January 1, 2009.  

The Board then heard a presentation by a representative from the Florida Agency for Health Care Administration (“AHCA”) on its Health Flex Program (“HFP”). HFP, which expires in June, 2008, was established in 2002 to provide basic health care for the uninsured. This premium-based, primary care-focused program is unencumbered by insurance mandates. To be eligible for HFP, a candidate must be age 64 years or older, be under the 200 percent poverty level and have had no other insurance coverage for at least six months prior to enrollment.

Currently, there are five versions of HFP, three of which are available in Miami-Dade County. Only 2,200 people are enrolled in all five programs because hospital coverage is not offered and the high premium price.

Two bills will be submitted to the Florida Legislature (SB 461, SB 1022) to revise eligibility requirements and extend AHCA’s Program expiration to July 1, 2013.

The Board also heard a presentation on Preferred Medical Plan (“PMP”) and Health Flex Plans (“HFP”) by Ms. Meyerson.

The PMP is geared toward the uninsured with low income and no employer benefits. The PMP is the largest individual HMO in the State of Florida with 40,000 people enrolled in Miami-Dade and Broward Counties. The PMP has been in operation for 35 years, and competes with plans from BCBS.

HFP, which focuses on preventative care and is priced at a relatively cost-prohibitive sum of $40 per month, currently operates at a loss. No hospital coverage is provided, and only limited prescription benefits are offered through HFP. In order to be eligible for this program, an applicant must have had no insurance coverage for the previous six months.

Ms. Meyerson suggested a change in HFP’s eligibility provisions to allow people who have lost their Medicaid insurance, or have aged-out of the Florida Healthy Kids program to be admitted.

Two additional presentations were made on similar low-cost, low-income health insurance products.

General Board business was then reviewed, with presentations on Board finances and audits given by Board members, as well as the Executive Director’s Report. The meeting was then adjourned.

Should you have any questions or comments, please do not hesitate to contact this office.

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