Health Coverage That Counts
March 31st, 2008|
FOR IMMEDIATE RELEASE
Sunday, March 30, 2008 |
For more information:
Katie Reinisch, 303-653-1009 Speaker Romanoff, 720-530-5525 |
MAJORITY COMMUNICATIONS
STATE CAPITOL
(Denver) State lawmakers, joined by small business owners and consumers, announced a legislative package aimed at reducing the cost of health care at the state capitol today. The new legislation aims to watchdog health insurance companies’ rising rates and to push insurance companies to pay consumers what they are owed.
Representative Morgan Carroll (D-Aurora) will introduce legislation this week to empower Colorado’s Insurance Commissioner to watchdog insurance rate increases. Under the FAIR Act—Fair & Accountable Insurance Rates – insurance companies will be required to justify rate increases before they can take effect.
"Expensive coverage equals no coverage for Colorado families and businesses. Insurance rates are out of control, driving up the number of uninsured and increasing costs for everyone," said Rep. Carroll. "Coloradans have been paying more for less every year. Rate increases should be justified so that we at least know why our rates go up when they do. It’s time to take on the insurance industry and their unjustified rate increases. Our health should be their bottom line."
“Consumers should have basic information about why healthcare premiums are skyrocketing,” said Dede de Percin, Executive Director of the Colorado Consumer Health Initiative. “This bill establishes a fair and reasonable process to keep insurers from making excessive profits off the lives and health of hardworking Coloradans.”
House Speaker Andrew Romanoff and Senate Majority Leader Ken Gordon announced that they will introduce the “Insurance Accountability Act of 2008”, which will push insurance companies to pay consumers what they are owed for valid claims.
“Too many Coloradans have to fight their insurance company just to get what they already paid for," said the Speaker. "Our message to the insurance industry is simple: ‘Pay what you owe — when you owe it.’"
“It’s our job in government to protect consumers from unfair business practices. Insurance companies should be penalized for wrongful acts against consumers,” said Representative Gwyn Green (D-Golden). Rep. Green’s House Bill 1228, which allows Colorado’s Insurance Commissioner to penalize insurance companies for wrongful acts against consumers, awaits final approval in the general assembly.
Peggy Mason told her story: she is insured but her company won’t pay her claims. In October, she was diagnosed with a rare form of cancer. Her insurance company would not cover any treatment, not even a single x-ray. She was told that her policy did not cover major medical care, even though her policy clearly states that it does and it was sold to her as a medical policy. Her house, her savings, her car and her IRA have all been threatened.
Small-business owner Rita Crompton told of her struggles to find affordable health insurance coverage for herself and her employees at her consulting business. Rita said that all of her employees work less than full-time and are uninsured. They take that risk rather than work elsewhere as full-time employees for less pay. Recently, Rita was forced to pay for a biopsy – upfront. Not having insurance is stressful for Rita, and she has had to make a difficult choice - making her premiums every month or paying her mortgage.