Republican plans will lower health insurance costs and increase choices

Senate Republicans today vowed to pass bold legislation to lower health insurance costs and make more options available to Minnesotans when they reconvene as the majority caucus in January. The announcement came three days after individual insurance rates increased by an average of 50-67%, and Minnesota became the first state to institute widespread caps on the number of new enrollees allowed to purchase plans. The situation has been described as a healthcare crisis for Minnesotans.

Among other ideas, Republicans will introduce the following legislation.

To achieve lower premiums and deductibles:

• Restore a statewide high-risk pool (like the former Minnesota Comprehensive Health Association – MCHA) to make the individual market healthier, more sustainable, and less expensive.

• Allow a tax deduction for health insurance premiums for individuals and families who don’t qualify for group insurance.

To achieve more choices in the marketplace:

• Allow entities other than employers to offer group health insurance for their members. This would include organizations like agriculture cooperatives, fraternal organizations, clubs, etc.

• Allow all independent doctors, clinics, and hospitals to be considered in-network providers (as long as they meet the network qualifications).

To achieve a more efficient system:

• Allow individuals, families, and small employers to skip the hassles of MNsure by purchasing coverage directly through insurance agents, while still receiving the same tax credits available to MNsure enrollees.

• Allow Minnesotans to enroll in public health insurance programs like Medical Assistance through their counties instead of through MNsure by expanding County Based Purchasing.

“In the three and a half years since MNsure was created, insurance costs have shot through the roof, millions of taxpayer dollars were wasted on fraudulent applications, hundreds of thousands of families lost their doctors, and enrollment obstacles have delayed cancer treatments, even costing one woman her life. Despite all of this, Democrats in the legislature haven’t lifted a finger to fix it, or even stop MNsure executives from receiving thousands in unfair bonuses,” said Republican Leader David Hann.

“Minnesotans need to decide: Do you want more of the same top-down regulations that caused this mess? Or do you want to lower costs and increase choices by tailoring the health insurance market to individual needs? Republicans will bring our health insurance market back from the brink of collapse by instituting patient-centered, common sense reforms.”