2013 Senate Bill 459

Alternative to federal health care law Medicaid expansion (and more)

Introduced in the Senate

July 31, 2013

Introduced by Sen. Patrick Colbeck (R-7)

To revise state insurance regulations to facilitate “direct primary care” arrangements, which are authorized as an option under the individual insurance mandate of the federal health care law. The bill would also authorize the use of private health insurance “exchanges” as an alternative to the government version of these entities, which are the vehicle by which the federal law administers and distributes insurance subsidies to individuals. (Note: The Federal government has <a href="http://www.cnbc.com/id/100925732">reportedly</a> agreed to use the private “eHealthInsurance.com” company to perform this role by giving it access to the federal exchange data hub.)<br> “Direct primary care” is a "new-old" health care delivery model that uses contracts between individuals and a physician in which routine and preventative health care services are delivered for a low monthly fee payment. This reportedly saves money because it eliminates the costly administration of reimbursements from conventional third-party insurance companies.<br> Senate Bill 460 would convert the Medicaid health welfare program into a system that combines direct primary care services, a high-deductible insurance plan, and “gap” insurance or “deductible support” subsidies to cover the high deductibles for low income persons. Both bills were reported from committee at the same time as a Senate version of House Bill 4714 authorizing the expansion, so they can be available for consideration by the full Senate instead of the expansion.

Referred to the Committee on Government Operations

Reported without amendment

Aug. 27, 2013

Substitute offered

The substitute passed by voice vote