Health Insurance Partnership disbands

Remember all that talk about building something similar to Massachusetts’ connector system, where employers would pay into a hub and individuals could sign up for health insurance, and take it with them between employers? That turned into a project called the Health Insurance Partnership, run by the Health Care Authority.

In addition to halving new enrollment in the Basic Health Plan, the agency is also pulling the plug on the partnership to make it’s target of $15 million in cuts by June.

“We won’t even start it up,” said HCA Director Steve Hill.

It was a better business decision to end the program before people were enrolled than try to continue against severe budget cuts, he said.

Nevertheless, the program was nearly ready to go. Enrollment was scheduled to start Jan. 1, and according to HCA, more than 125 insurance brokers had registered for training sessions on using the system.

The idea was that these businesses would pay a lower share of premiums, say 40 percent instead of 75 percent, and the state would subsidize the program, including helping employees pay part of their premiums. It was directed at employers of 50 people or less who do not now offer insurance.

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